An incumbent firm engages in a strategy of umbrella pricing to ward off the development of an advanced technology by a prospective entrant. As a result, the competitor enters the market with an old technology less harmful to the established firm. Both firms benefit from umbrella pricing but...

It is shown that the effect of the number of sellers on price can be related to a concept of elasticity which links consumers' brand loyalty to the quantity sold by each firm. A class of inverse demand functions for differentiated goods which lends itself to the analysis of the conditions of...