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both crucial for the emergence of outsourcing. The supplier purposefully avoids industry pro.t maximization to enlarge its …
Persistent link: https://www.econbiz.de/10014340231
This paper analyzes a sequential game where firms decide about outsourcing the production of a non-specific input good … Tirole (1984) to characterize the different equilibria. We find that outsourcing generally softens competition in the final … product market. If firms anticipate the impact of their outsourcing decisions on input prices, there may be equilibria where …
Persistent link: https://www.econbiz.de/10001783571
This paper analyzes a sequential game where firms decide about outsourcing the production of a non-specific input good … Tirole (1984) to characterize the different equilibria and find that outsourcing generally softens competition in the final … product market. If firms anticipate the impact of their outsourcing decisions on input prices, there may be equilibria where …
Persistent link: https://www.econbiz.de/10014068136
multiple complementary inputs and the entry of a supplier into the final good market gives rise to mutual outsourcing of inputs … between the encroaching supplier and the incumbent. We show that, post encroachment, mutual outsourcing between the competing … mutual outsourcing. Our analysis yields novel managerial, empirical and policy implications. …
Persistent link: https://www.econbiz.de/10014306725
multiple complementary inputs and the entry of a supplier into the final good market gives rise to mutual outsourcing of inputs … between the encroaching supplier and the incumbent. We show that, post encroachment, mutual outsourcing between the competing … mutual outsourcing. Our analysis yields novel managerial, empirical and policy implications …
Persistent link: https://www.econbiz.de/10014347224
We examine the strategic use of Corporate Social Responsibility (CSR) in imperfectly competitive markets. The level of CSR determines the weight a firm puts on consumer surplus in its objective function before it decides upon supply. First, we consider symmetric Cournot competition and show that...
Persistent link: https://www.econbiz.de/10011657756
The seminal paper by Salant, Switzer and Reynolds (1983) showed that merger in a standard Cournot framework with linear demand and linear costs is not profitable unless a large majority of the firms are involved in the merger. However, many strategic aspects matter for firm competition such as...
Persistent link: https://www.econbiz.de/10013318548
This paper shows the strategic aspects of international outsourcing in a duopolistic market. Due to different costs of … integrated production and outsourcing, the choice of a firm influences the strategy of the competitor via the output price … the three market constellations, both firms produce integrated, both use outsourcing and the firms operate with different …
Persistent link: https://www.econbiz.de/10008796592
a Cournot duopoly, and consider feasibility constraints from the perspective of strategic management …
Persistent link: https://www.econbiz.de/10013104355
The paper provides a micro-founded differentiated duopoly illustration of a beauty contest, in which the relative …
Persistent link: https://www.econbiz.de/10012904447