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Competition in Multi-Characteristics Spaces: Hotelling Was Almost Right

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Author Info
Andreas IRMEN
Jean-François THISSE

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Abstract

Lancasterian models of product differentiation typically assume a one-dimension characteristics space. We show that standard results on prices and locations no longer hold when firms compete in a multi- characteistics space.

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Publisher Info
Paper provided by Université de Lausanne, Faculté des HEC, DEEP in its series Cahiers de Recherches Economiques du Département d'Econométrie et d'Economie politique (DEEP) with number 9613.

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Length: 36 pages
Date of creation: May 1996
Date of revision:
Publication status: Published in Journal of Economic Theory, vol.78 (1), January 1998, pp. 76-102
Handle: RePEc:lau:crdeep:9613

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Postal: Université de Lausanne, Faculté des HEC, DEEP, Internef, CH-1015 Lausanne
Phone: ++41 21 692.33.64
Fax: ++41 21 692.33.65
Web page: http://www.hec.unil.ch/deep/publications-english/e-cahiers.htm

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Related research
Keywords: product positioning; multi-characteristic space;

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Find related papers by JEL classification:
L1 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance
R3 - Urban, Rural, and Regional Economics - - Production Analysis and Firm Location
M3 - Business Administration and Business Economics; Marketing; Accounting - - Marketing and Advertising

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This page was last updated on 2009-11-22.


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