Showing 1 - 10 of 42
This paper analyzes the entry of new products into vertically differentiated markets where an entrant and an incumbent … average payoff criterion. The qualitative features of the optimal entry strategy are shown to depend exclusively on the …
Persistent link: https://www.econbiz.de/10005762809
This paper analyzes the optimal entry into experience goods markets with vertically differentiated buyers. We consider … aggressively. The slow entry strategy is associated with increasing supply and decreasing prices over time. The reverse pattern … holds for an aggressive entry strategy The incentives to innovate display a similar distinction. A firm with a currently …
Persistent link: https://www.econbiz.de/10005762849
of party competition under proportional and plurality rule. Entry is allowed and incumbent parties act as Stackelberg … leaders vis-a-vis potential entrants. The analysis highlights the interaction between entry barriers and the type of emerging … issue in determining when and how a new issue will be introduced. The theory explains both internal (that is, without entry …
Persistent link: https://www.econbiz.de/10005196061
model of entry, location and format choice across a large number of markets in the presence of zoning restrictions. The … the extant literature on entry and location choice leads to biased estimates of the factors affecting market potential and … insight on how zoning impacts retail entry and format variety; in particular we evaluate the impact of prototypical zoning …
Persistent link: https://www.econbiz.de/10009652329
Conflicts of interest arise between a decision maker and agents who have information pertinent to the problem because of differences in their preferences over outcomes. We show how the decision maker can extract the information by distorting the decisions that will be taken, and show that only...
Persistent link: https://www.econbiz.de/10005464015
We analyze the optimal design of dynamic mechanisms in the absence of transfers. The designer uses future allocation decisions as a way of eliciting private information. Values evolve according to a two-state Markov chain. We solve for the optimal allocation rule, which admits a simple...
Persistent link: https://www.econbiz.de/10011165635
We analyze nonlinear pricing with finite information. A seller offers a menu to a continuum of buyers with a continuum of possible valuations. The menu is limited to offering a finite number of choices representing a finite communication capacity between buyer and seller. We identify necessary...
Persistent link: https://www.econbiz.de/10011124281
We characterize the revenue-maximizing mechanism for time separable allocation problems in continuous time. The valuation of each agent is private information and changes over time. At the time of contracting every agent privately observes his initial type which influences the evolution of his...
Persistent link: https://www.econbiz.de/10011124283
We analyze a nonlinear pricing model with limited information. Each buyer can purchase a large variety, d, of goods. His preference for each good is represented by a scalar and his preference over d goods is represented by a d-dimensional vector. The type space of each buyer is given by a...
Persistent link: https://www.econbiz.de/10010895638
We characterize the profit-maximizing mechanism for repeatedly selling a non-durable good in continuous time. The valuation of each agent is private information and changes over time. At the time of contracting every agent privately observes his initial type which influences the evolution of his...
Persistent link: https://www.econbiz.de/10010895641