Demand shifts and market structure in free-entry oligopoly equilibria

Article Abstract:

The demand shifts in free-entry oligopoly equilibrium was investigated to determine the significance of the unrecognized correlation between underlying motivation for de novo entry and the structural implications of a demand shift. The two kinds of demand shifts considered were the parallel upwards shifts in demand and the clockwise rotations of demand via the equilibrium point. It was revealed that if the catalyst for entry is the parallel upwards shift in demand, industrial productivity increases upon entry but the reverse occurred in the clockwise rotation of demand.

Market Research, Analysis, Market share, Industrial concentration, Demand (Economics)

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Entry and experimentation in oligopolistic markets for experience goods

Article Abstract:

A two-period Bertrand market in which one seller introduces an experience good and the new product competes with an alternative good of known quality is examined. It is found that the sellers and buyers doesn't know the value of the new product and while consumers can learn their valuation for the new good by actual consumption, sellers cannot observe experimentation outcomes.

United States, Capital funds & cash flow, Behavior, Influence, Comparative analysis, Valuation, New products, Product introduction, Consumers, New technique

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