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On the Existence and uniqueness of Price Equilibrium with Multi-Store Firms

Author

Listed:
  • Hammoudi Abdelhakim

    (INRA-ALISS)

  • Giraud-héraud Eric

    (*INRA-ALISS and Ecole Polytechnique, Laboratoire d''Econométrie, France)

Abstract

The paper gives a proof of the existence and the uniqueness of price equilibrium in a multi-product, multi-firm competition framework. It illustrates how the price levels depends on the inter-brand portfolio substitution and on the intra-brand portfolio substitution

Suggested Citation

  • Hammoudi Abdelhakim & Giraud-héraud Eric, 2009. "On the Existence and uniqueness of Price Equilibrium with Multi-Store Firms," Economics Bulletin, AccessEcon, vol. 29(2), pages 873-882.
    • Handle: RePEc:ebl:ecbull:eb-08c00015
    as

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    References listed on IDEAS

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    1. Janet S. Netz & Beck A. Taylor, 2002. "Maximum Or Minimum Differentiation? Location Patterns Of Retail Outlets," The Review of Economics and Statistics, MIT Press, vol. 84(1), pages 162-175, February.
    2. Klemperer, Paul, 1992. "Equilibrium Product Lines: Competing Head-to-Head May Be Less Competitive," American Economic Review, American Economic Association, vol. 82(4), pages 740-755, September.
    3. Barron, John M & Taylor, Beck A & Umbeck, John R, 2000. "A Theory of Quality-Related Differences in Retail Margins: Why There Is a "Premium" on Premium Gasoline," Economic Inquiry, Western Economic Association International, vol. 38(4), pages 550-569, October.
    4. Pal, Debashis & Sarkar, Jyotirmoy, 2002. "Spatial competition among multi-store firms," International Journal of Industrial Organization, Elsevier, vol. 20(2), pages 163-190, February.
    5. Steven C. Salop, 1979. "Monopolistic Competition with Outside Goods," Bell Journal of Economics, The RAND Corporation, vol. 10(1), pages 141-156, Spring.
    6. Janssen, Maarten C.W. & Karamychev, Vladimir A. & van Reeven, Peran, 2005. "Multi-store competition: Market segmentation or interlacing?," Regional Science and Urban Economics, Elsevier, vol. 35(6), pages 700-714, November.
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    More about this item

    JEL classification:

    • C0 - Mathematical and Quantitative Methods - - General
    • L1 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance

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