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Welfare implications of supplier encroachment with consumer shopping costs

Caprice, Stéphane; Shekhar, Shiva - 2025

In this paper, we study supplier encroachment in competition with multi-product retailers and its effects on retail profits under endogenous consumer shopping behavior. We find that supplier encroachment (weakly) increases both supplier and retailer profits, as the retailer benefits from better...

Persistent link: https://www.econbiz.de/10015339842

Buyer Market Power and Vertically Differentiated Retailers

Wang, Shinn-Shyr; Rojas, Christian; Lavoie, Nathalie - 2010

We consider a model of vertical competition where downstream firms (retailers) purchase an upstream input from a monopolist and are able to differentiate from each other in terms of quality. Our primary focus is to study the effects of introducing a large retailer, such as a Wal-Mart...

Persistent link: https://www.econbiz.de/10014198685

Consumer flexibility, data quality and location choice

Baye, Irina; Hasnas, Irina - 2014

We analyze firms' location choices in a Hotelling model with two-dimensional consumer heterogeneity, along addresses … (possibly) imperfect data on consumer flexibility. We show that firms' location choices depend on how strongly consumers differ … socially optimal location choices only when customer flexibility data is perfect. These results are driven by the optimal …

Persistent link: https://www.econbiz.de/10010338109

Location in a disk city with consumer concentration around the center

Stadler, Manfred - 2018

The paper studies a two-stage location-price duopoly game in a disk city with consumer concentration around the city …

Persistent link: https://www.econbiz.de/10011944098

Risk versus reward : when will travelers go the distance?

Tanford, Sarah; Kim, Esther L. - In: Journal of travel research : a quarterly publication of … 58 (2019) 5, pp. 745-759

Persistent link: https://www.econbiz.de/10012050645

Ordered search in differentiated markets

Zhou, Jidong - 2009 - This Version: August 2009

This note presents an ordered search model in which consumers search both for price and product fitness. We construct an equilibrium in which there is price dispersion and prices rise in the order of search. The top firms in consumer search process, though charge lower prices, earn higher...

Persistent link: https://www.econbiz.de/10011523970

Competition under consumer loss aversion

Karle, Heiko; Peitz, Martin - 2012

outcome if the asymmetry between firms is sufficiently large and that narrowing the set of products which consumers consider …

Persistent link: https://www.econbiz.de/10011489928

Offering energy efficiency under imperfect competition and consumer inattention

Tode, Christian - 2016

Energy efficiency is considered to be a win-win situation for both the economy and the environment. Producing products and services at lower energy input and related input costs can contribute to climate change abatement and economic competitiveness. Actual implementation of energy efficiency...

Persistent link: https://www.econbiz.de/10011516963

Full versus partial collusion among brands and private label producers

Hasnas, Irina; Wey, Christian - 2015

We analyze the incentives to collude when brand manufacturers compete with a private label producer of inferior quality. Full collusion is easier to sustain than partial collusion from the brands.perspective when horizontal differentiation is large and vertical differentiation is small. The...

Persistent link: https://www.econbiz.de/10011292409

Injunctions against false advertising

Baumann, Florian; Rasch, Alexander - 2019

Rules of consumer protection or fair competition can be publicly or privately enforced. We consider the possibility of false advertising by a firm in duopolistic competition where consumers can be distinguished according to whether or not they form rational beliefs about the trustworthiness of...

Persistent link: https://www.econbiz.de/10012197740