Advertised Meeting-the-Competition Clauses: Collusion Instead of Price Discrimination
AbstractPricing strategies may include the advertising of meeting-the-competition clauses (MCCs). We show in a specific spatial model scenario with differently informed consumers that MCCs primarily serve as a device to facilitate collu-sion instead of allowing for price discrimination between these consumers.
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Bibliographic InfoPaper provided by University of Southern Denmark, Department of Environmental and Business Economics in its series Working Papers with number 99/10.
Length: 19 pages
Date of creation: Feb 2010
Date of revision:
Meeting-the-competition clauses; advertising; price discrimination; competi-tion; collusion;
Other versions of this item:
- Jürgen-Peter Kretschmer & Oliver Budzinski, 2011. "Advertised meeting-the-competition clauses: collusion instead of price discrimination," Economics Bulletin, AccessEcon, vol. 31(4), pages 3153-3157.
- M21 - Business Administration and Business Economics; Marketing; Accounting - - Business Economics - - - Business Economics
- M37 - Business Administration and Business Economics; Marketing; Accounting - - Marketing and Advertising - - - Advertising
- L40 - Industrial Organization - - Antitrust Issues and Policies - - - General
- L11 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance - - - Production, Pricing, and Market Structure; Size Distribution of Firms
- D21 - Microeconomics - - Production and Organizations - - - Firm Behavior: Theory
This paper has been announced in the following NEP Reports:
- NEP-ALL-2010-05-02 (All new papers)
- NEP-COM-2010-05-02 (Industrial Competition)
- NEP-MKT-2010-05-02 (Marketing)
You can help add them by filling out this form.
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- Oliver Budzinski, 2009. "Modern Industrial Economics and Competition Policy: Open Problems and Possible Limits," Working Papers 93/09, University of Southern Denmark, Department of Environmental and Business Economics.
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