Recommended readings (Machine generated): Michael R. Baye and John Morgan (2001), 'Information Gatekeepers on the Internet and the Competitiveness of Homogeneous Product Markets', American Economic Review, 91 (3), June, 454-74 -- Jean-Charles Rochet and Jean Tirole (2003), 'Platform Competition...

We model a homogeneous product environment where identical e-retailers endogenously engage in both brand advertising (to create loyal customers)and price advertising (to attract shoppers). Our analysis allows for cross-channel effects; indeed, we show that price advertising is a substitute for...