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In this article, I investigate the effect warranties have on durable-goods markets. Many if not most goods that are sold with a warranty are durable goods; thus, it is extremely important to consider the role of warranties in a durable-goods setting. This article analyzes the signaling role of...
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In this paper, I investigate the effect warranties have on durable goods markets. Many if not goods that are sold with a warranty are durable goods, thus, it is extremely important to consider the role of warranties in a durable goods setting. This paper analyzes the signaling role of warranties...
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We investigate the endogenous choice of strategic variable (a price or a quantity) by downstream firms in a two-tier industry in which an upstream firm performs the R&D investment. We show that when the upstream firm offers either linear discriminatory or uniform input price, it is a dominant...
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