Showing 1 - 10 of 72
We study the effects of competition and interoperabilty in platform markets. To do so, we adopt an approach of competition in net fees, which is well-suited to situations where users pay additional charges, after joining, for on-platform interactions. Compared to other approaches, net fees...
Persistent link: https://www.econbiz.de/10013323426
This paper studies (1) whether, from a welfare point of view, oligopolistic competition leads to too few or too many products in a market, and (2) how a change in competition affects the number and the composition of product offerings. We address these two questions in the context of the U.S....
Persistent link: https://www.econbiz.de/10014141809
This paper empirically analyzes how the use of vertical price restraints has impacted retail prices in the market for e-books. In 2010 five of the six largest publishers simultaneously adopted the agency model of book sales, allowing them to directly set retail prices. This led the Department of...
Persistent link: https://www.econbiz.de/10014141798
sustainability of collusion in an infinitely repeated game framework. We show that the bundling strategy of the entrant might hinder … collusion. Futhermore, we consider a setting in which the entrant uses a one-way access that the incumbent possesses. In such … might increase the feasibility of collusion. This result has an important policy implication …
Persistent link: https://www.econbiz.de/10014054958
We study an e-commerce platform’s incentives to delist IP-infringing products and the effects of introducing a liability regime that induces the platform to increase its screening intensity. We identify conditions under which platform liability is socially desirable (respectively, undesirable)...
Persistent link: https://www.econbiz.de/10013323427
I examine the role of word of mouth in consumer's product discovery process and its implications for the firm. A monopolist supplies an assortment of horizontally differentiated products and consumers search for a product that matches their taste by sampling products from the assortment or by...
Persistent link: https://www.econbiz.de/10014048214
Online price comparison agents (shopbots) allow consumers to instantaneously receive price and other information from many online retailers. Online consumer clickstream data from ComScore Inc. demonstrate that consumers are increasingly using shopbots to conduct search. This phenomenon raises...
Persistent link: https://www.econbiz.de/10014048241
In their seminal 1985 paper, Katz and Shapiro study systems compatibility in settings with one-sided platforms and direct network externalities. We consider systems compatibility when competing platforms are two-sided and there are indirect network externalities to develop an explanation why...
Persistent link: https://www.econbiz.de/10014213701
I study the impact of consumer reviews on the incentives for firms to participate in the market. Firms produce goods of heterogeneous, unknown quality that is gradually revealed via consumer reviews, and face both entry and exit decisions. A platform combines past reviews to construct...
Persistent link: https://www.econbiz.de/10014110679
How has the Internet affected newspaper content? We build a dataset that matches newspaper readability measures to Internet penetration at the county-year level from 2000-2008. We document a positive relationship between Internet penetration and newspaper readability. This result appears...
Persistent link: https://www.econbiz.de/10014141810