全球智库信息集成服务系统(G2TT): DP13228 Cheap Trade Credit and Competition in Downstream Markets

G2TT

来源类型	Discussion paper
规范类型	论文
来源ID	DP13228
	DP13228 Cheap Trade Credit and Competition in Downstream Markets
	Mariassunta Giannetti; Nicolas Serrano-Velarde; Emanuele Tarantino
发表日期	2018-10-08
出版年	2018
语种	英语
摘要	Using a unique dataset with information on 20 million inter-firm transactions, we provide evidence that suppliers offer trade credit to high-bargaining-power customers to ease competition in downstream markets in which they have a large number of other clients. Differently from price discounts, trade credit targets infra-marginal units and does not lower the marginal cost of high-bargaining-power customers. As a consequence, the latter do not gain market share and the supplier can preserve profitable sales to low-bargaining-power customers. We show that empirically trade credit is not monotonically increasing in past purchases, as is consistent with our conjecture that it targets infra-marginal units. In addition, the supplier grants trade credit to high-bargaining-power-customers only when it fears the cannibalization of sales to other low-bargaining-power clients. Our results are not driven by differences in suppliers' ability to provide trade credit, customer-specific shocks, or endogenous location decisions.
主题	Financial Economics ; Industrial Organization
关键词	Trade credit Competition Input prices Supply chains
URL	https://cepr.org/publications/dp13228
来源智库	Centre for Economic Policy Research (United Kingdom)
资源类型	智库出版物
条目标识符	http://119.78.100.153/handle/2XGU8XDN/542037
推荐引用方式 GB/T 7714	Mariassunta Giannetti,Nicolas Serrano-Velarde,Emanuele Tarantino. DP13228 Cheap Trade Credit and Competition in Downstream Markets. 2018.