Vertical Differentiation and Entry DeterrenceA Reconsideration

  1. Beloki Mendizabal, Lander
  2. Usategui Díaz de Otalora, José María
Revista:
DFAE-II WP Series

ISSN: 1988-088X

Any de publicació: 2005

Número: 6

Tipus: Document de treball

Altres publicacions en: DFAE-II WP Series

Resum

In this work we emphasize why market coverage should be considered endogenous for a correct analysis of entry deterrence in vertical differentiation models and discuss the implications of this endogeneity for that analysis. We consider contexts without quality costs and also contexts with convex fixed quality costs.