Financial constraints and product market competition: ex-ante vs. ex post incentives
Article Abstract:
In a duopoly, the ability of a financially constrained firm is compared with another unconstrained firm. Debt is derived as an optimal contract and the results clearly show that the constrained firm produces less even as the other firm produces more goods. The cost disadvantage of the financially constrained firm earns a higher market share for the other firm and bigger profits.
Publication Name: International Journal of Industrial Organization
Subject: Business, international
ISSN: 0167-7187
Year: 2004
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Information disadvantage in linear Cournot duopolies with differentiated products
Article Abstract:
Relationship between information setup of firms and linear Cournot duopolies with differentiated products with relation to independent cross-effects is presented.
Publication Name: International Journal of Industrial Organization
Subject: Business, international
ISSN: 0167-7187
Year: 2006
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Value of reputation in the chain-store game with multiple incumbents
Article Abstract:
A study examines the impact of incentives given to companies to maintain their reputation in the market.
Publication Name: International Journal of Industrial Organization
Subject: Business, international
ISSN: 0167-7187
Year: 2006
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