Showing 1 - 10 of 14,188
We compare a discriminatory pricing regime with a non-discriminatory regime in a competitive bottleneck model where content providers endogenously sort into single or multi-homers. We find that consumer prices rise when the share of single-homers increases in the non-discriminatory case, while...
Persistent link: https://www.econbiz.de/10011630878
This paper investigates the effects of changes in retail market concentration when input prices are negotiated. Results are derived from a model of bilateral Nash-bargaining between upstream and downstream firms which allows for general forms of demand and retail competition. Whether...
Persistent link: https://www.econbiz.de/10011654786
We examine two episodes of strategic interaction in the U.K. betting industry: (i) Betfair (an entrant multi-sided platform, or MSP) vs. Flutter (also an MSP), and (ii) Betfair vs. traditional bookmakers. We find that although Betfair was an underfunded second mover in the betting exchange...
Persistent link: https://www.econbiz.de/10012019905
In a two-firm model where each firm sells a high-quality and a low-quality version of a product, customers differ with respect to their brand preferences and their attitudes towards quality. We show that the standard result of quality-independent markups crucially depends on the assumption that...
Persistent link: https://www.econbiz.de/10010227304
We study how digital platforms can choose competitive strategies to influence the number of multihoming consumers …. Platforms compete for consumers and advertisers. A platform earns a premium from advertising to singlehomers, as it is a …
Persistent link: https://www.econbiz.de/10012586398
Recent claims that online platforms have secured permanent monopolies, protected by barriers to entry from network …: disruptive innovation that provides opportunities for entry; competition from online platforms that have secured a toehold in one … this points to online platforms facing sleepless nights since any online platform that tries the quiet life of monopoly …
Persistent link: https://www.econbiz.de/10012951065
platforms to keep prices lower and quality higher than they would absent these feedback effects. In some cases the nature of the …, particularly when the business model adopted by the industry makes it difficult for platforms to move from free participation. To … one group is free. Market shares should be used cautiously in assessing market power for multi-sided platforms, especially …
Persistent link: https://www.econbiz.de/10014128700
We study information design in a vertically differentiated market. Two firms offer products of ex-ante unknown qualities. A third party designs a system to publicly disclose information. More precise information guides consumers toward their preferred product but increases expected product...
Persistent link: https://www.econbiz.de/10015438597
key findings from the literature on network effects and two-sided platforms. It lays out the basic models of monopoly … effects. Intermediaries manage these network effects and thus act as platforms that bring users together. This paper reviews … platforms and platform competition, and elaborates on some routes taken by recent research. …
Persistent link: https://www.econbiz.de/10011570171
This article studies competition between different types of ad-funded platforms attracting consumers with free services …. Consumers often find advertisements a nuisance on such platforms. We study how under a competitive setting platforms balance the … that studies competition between standard platforms and social media platforms (with same-side network effects). We find …
Persistent link: https://www.econbiz.de/10012838308