According to the classical result on complementary monopolies, a single-product firm unambiguously prefers purchasing complementary inputs from an integrated monopolistic supplier rather than from different non-integrated monopolistic suppliers. In this note, we account for the fact that firms...

We study how inter-firm social comparison can alter the choice of two competing manufacturers between vertical integration and vertical separation if retailers are status-concerned. Status is determined by the difference in retailers’ market shares. The novelty of our approach is that in line...

The observability of managerial contract information in duopolies with strategic delegation has been an issue of controversial discussion. In a recent paper, Baik and Lee (2019) endogenize the decision to disclose the details of managerial contracts and show that in equilibrium, the owners of...