This paper provides experimental evidence on the formation of partial cartels with endogenous coordination. Firms face a coordination challenge when a partial cartel is to be formed as every firm is better off if it is not inside the cartel but is a free-riding outsider. We introduce a...

This paper experimentally tests the coordination of partial cartels when payoffs are asymmetric. In a two-stage mechanism with communication we analyze the formation of all-inclusive and partial cartels. Firms reject partial cartels if outside firms profit excessively from cartel formation....

This article analyses Big Data strategies with network effects. An incumbent network can abuse its market dominance by implementing a Big Data strategy that “shrouds” data collection. Thereby, only “sophisticated” consumers understand that data collection yields a dis-utility while...

This paper analyses how the endogenous detection of an upstream cartel by a down-stream buyer allows the detecting firm to raise rivals' cost. We model a market with a vertical structure, where a stable all-inclusive cartel is operating in the upstream market which provides an input to a...

Ziel dieser Arbeit ist es, Innovationen außerhalb von F&E zu beleuchten und zu einer breiteren und tieferen Wertschätzung von Lern- und Wissensschaffungsprozessen beizutragen, die für mitarbeiter- und individuumsgesteuerte Innovationen entscheidend sind. In mehreren Papern wird gezeigt, dass...

Many cartels are formed by individual managers of different firms, but not by firms as collectives. However, most of the literature in industrial economics neglects individuals' incentives to form cartels. Although oligopoly experiments reveal important insights on individuals acting as firms,...

This paper theoretically and experimentally studies decision-making in risky and social environments. We explore the interdependence of individual risk attitudes and social preferences in form of inequality aversion as two decisive behavioral determinants in such contexts. Our model and the data...

We analyze the role of worker participation for the success of minimum remuneration policies. In our experiments employers remunerate workers doing a real-effort task. We vary the way how a minimum remuneration policy is introduced. In the worker-participation treatment, workers bargain with the...