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carry over to non-software platforms and, partially, to upstream and downstream firms. The model also explains why Microsoft …We consider a software vendor first selling a monopoly platform and then an application running on this platform. He … Office is priced significantly higher than Microsoft's operating system. …
Persistent link: https://www.econbiz.de/10005515713
We consider a software vendor selling both a monopoly platform (e.g. operating system) and an application that runs on … more profits with his platform. Second, the competitor's entry serves as a credible commitment to lower prices for … model also gives an answer to the much debated question why Microsoft prices MS Office significantly higher than its …
Persistent link: https://www.econbiz.de/10005515666
The paper studies a market of horizontally differentiated good under increasing return to scale and exogenous number of firms. Three concepts of equilibria are compared: Cournot, Bertrand and monopolistic competition. Under fairly general assumptions on consumer's preferences, it is shown that...
Persistent link: https://www.econbiz.de/10010839455
This paper investigates the price war in the UK quality newspaper industry in the 1990s. We build a model of the newspaper market which encompasses demand for differentiated products on both, the readers and advertisers side of the market, and profit maximization by four competing oligopolistic...
Persistent link: https://www.econbiz.de/10008525325
Theories of multi-sided markets suggest that a platform’s pricing strategies on different sides of the market are … empirically examine platforms’ pricing strategies by exploiting the gradual expansion of Craigslist, a website providing … and after Craigslist’s entry. We find that these newspapers drop their classified ad rates significantly more after …
Persistent link: https://www.econbiz.de/10008673515
This paper examines one of the most important marketing strategies by software producers on the Internet. That is …
Persistent link: https://www.econbiz.de/10004970309
results, we discuss an explanation of the fact that Microsoft Office has a significantly higher price than Microsoft Windows …
Persistent link: https://www.econbiz.de/10005412872
explanation of the fact that Microsoft Office has a significantly higher price than Microsoft Windows although both products have …
Persistent link: https://www.econbiz.de/10005622702
results, we discuss an explanation of the fact that Microsoft Office has a significantly higher price than Microsoft Windows …
Persistent link: https://www.econbiz.de/10005622726
In his book on 'Market Microstructure' Spulber presented some strange results with respect to the impact of the substitutability parameter in an intermediation model with differentiated products and inputs. Intuitively, effects in the product and the input market should be similar: if firms...
Persistent link: https://www.econbiz.de/10009003560