Orders to Supply as Substitutes for Commitments to Aftermarkets
A number of recent antitrust cases in the United States, Canada and Europe have involved durable goods manufacturers refusing to supply proprietary parts to independent service organizations, apparently to monopolize the market for repairs of their products. Earlier work suggested that even if the market for the original product is very competitive, a market imperfection might exist if the manufacturer cannot commit ex ante to pricing repairs at marginal cost.
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|Date of creation:||Jun 1996|
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