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When sellers join a platform to sell their products, the platform operator may restrict their strategic decisions. In fact, several platform operators impose most-favored treatment or no-discrimination rules (NDRs), asking sellers not to offer better sales conditions elsewhere. In this paper, I...
Persistent link: https://www.econbiz.de/10010338388
If an intermediary offers sellers a platform to reach consumers, he may face a hold-up problem: sellers suspect that the intermediary will enter their respective market, competing with them. As sellers fear that they cannot recoup their sunk costs of entry, they do not join the platform. Hence,...
Persistent link: https://www.econbiz.de/10013088269
novel explanation for the use of proportional platform fees. -- intermediation ; platform tariff ; hold-up problem …
Persistent link: https://www.econbiz.de/10009528884
This paper deals with trade platforms whose operators not only allow third party sellers to offer their products to consumers, but also offer products themselves. In this context, the platform operator faces a hold-up problem if he uses classical twopart tariffs only as potential competition...
Persistent link: https://www.econbiz.de/10014249628
Leading retailers have opened up their online storefronts to competitors by operating marketplaces for third party sellers. We develop a model of entry and price competition at the product market level, and show that the retailer softens competition through control of the storefront and benefits...
Persistent link: https://www.econbiz.de/10014082333
This paper analyses the dynamics of hotel prices listed on Booking.com in the period 2014-16. This period is characterised by the most important antitrust decisions regarding the use of price parity clauses by online travel agencies (OTAs) in the EU. First, we document the dynamics of hotel...
Persistent link: https://www.econbiz.de/10012946082
When sellers join a platform to sell their products, the platform operator may restrict their strategic decisions. In fact, several platform operators impose most-favored treatment or no-discrimination rules (NDRs), asking sellers not to offer better sales conditions elsewhere.In this paper, I...
Persistent link: https://www.econbiz.de/10013087223
We investigate how the adoption of price parity clauses (PPCs) by established platforms affects the listing decisions of suppliers. PPCs have been widely adopted by online travel agencies (OTAs) to force client hotels not to charge lower prices in alternative sales channels. We find that OTAs...
Persistent link: https://www.econbiz.de/10012893514
positive and negative effects on welfare. -- intermediation ; platform pricing ; no-discrimination rule …
Persistent link: https://www.econbiz.de/10009727648
We analyze the best price clauses (BPCs) of online travel agents (OTAs) using meta-search price data of more than 45,000 hotels in different countries. Although OTAs apparently have not changed their standard commission rates following the partial ban of BPCs in Europe, we find that BPCs do...
Persistent link: https://www.econbiz.de/10011543473