Worksharing, Access and Bypass: The Structure of Prices in the Postal Sector
AbstractThis paper studies a liberalized postal market where entrants may offer end-to-end products or concentrate on one of the segments of the network. Absent effective bypass, entry does not appear to be a serious financial threat to the incumbent, even when the products are perfect substitutes. This is no longer true when the entrant offers cheaper service in delivery. Then, the universal service provider may loose the entire pre-sorted mail market. It is left with probably low volume demand from households and from firms with high preparation cost, and its financial viability may be jeopardized. Copyright Springer Science+Business Media, LLC 2007
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Bibliographic InfoPaper provided by Institut d'Économie Industrielle (IDEI), Toulouse in its series IDEI Working Papers with number 360.
Date of creation: May 2005
Date of revision: Oct 2006
Publication status: Published in Journal of Regulatory Economics, vol.�32, n°1, août 2007.
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Other versions of this item:
- E. Villemeur & Helmuth Cremer & Bernard Roy & Joëlle Toledano, 2007. "Worksharing, access and bypass: the structure of prices in the postal sector," Journal of Regulatory Economics, Springer, vol. 32(1), pages 67-85, August.
- L51 - Industrial Organization - - Regulation and Industrial Policy - - - Economics of Regulation
- L87 - Industrial Organization - - Industry Studies: Services - - - Postal and Delivery Services
- L32 - Industrial Organization - - Nonprofit Organizations and Public Enterprise - - - Public Enterprises; Public-Private Enterprises
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