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Vertical mergers and downstream spatial competition with different product varieties

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Author Info
Beladi, Hamid
Chakrabarti, Avik
Marjit, Sugata

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Abstract

We show how, in an industry where no downstream firm can produce all varieties demanded, a vertical merger with a monopoly upstream will induce each downstream firm (inside and out of the merger) to deviate from the socially optimal location.

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File URL: http://www.sciencedirect.com/science/article/B6V84-4T8YNBN-2/2/0ce29afafbc4a45dfb898ab3f2ee0238
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Publisher Info
Article provided by Elsevier in its journal Economics Letters.

Volume (Year): 101 (2008)
Issue (Month): 3 (December)
Pages: 262-264
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Handle: RePEc:eee:ecolet:v:101:y:2008:i:3:p:262-264

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Web page: http://www.elsevier.com/locate/ecolet

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Related research
Keywords: Product-differentiationPrice-discrimination Spatial-competition Firm-location Merger;

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This page was last updated on 2009-12-12.

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