We study the formation of an entrepreneurial network in an environment, in which entrepreneurs who are contesting with each other for the development of a new venture have the possibility to collaborate. On the one hand, such bilateral knowledge collaborations are beneficial because they allow...

This paper studies the effect of timing and commitment of verification in a principal-agent relationship with moral hazard. To acquire additional information about the agent's behavior, the principal possesses a costly technology that produces a noisy signal about the agent's effort choice. The...

The recent development of 3D printing raises the issue of how to protect manufacturing firms from product piracy. In this paper, we are interested in potential regulatory requirements to protect firms from falling victim of product piracy and associated quality choices. We employ a...

Credence goods markets, such as those for car repairs and medical treatments, are generally characterized by an ex-ante and ex-post information asymmetry between the uninformed buyer and the informed seller. Previous literature demonstrates that efficiency and fraud in a monopolist credence...

The paper provides a framework in which suppliers of experience goods find it in their best interest to provide and enforce quality standards. This self-regulatory outcome is compared to various forms of statutory regulation, such as price regulation and quality regulation. The comparision is...

We consider a market in which two firms with their own customer base have the possibility to expand their business by customization to serve new customer segments. In a two-dimensional model, we examine the optimal scope of customization - that is, whether not to customize, to customize only one...

We consider a vertically differentiated market where an incumbent strategically wants to launch a fighter brand to thwart a new entrant. Without a credibly commitment this launch is ineffective because the incumbent always has an incentive to price the fighter brand ex-post out of the market....

We consider a market in which two firms with their own customer base have the possibility to expand their business by customization to serve new customer segments. In a two-dimensional model, we examine the optimal scope of customization - that is, whether not to customize, to customize only one...