全球智库信息集成服务系统(G2TT): DP15253 Nonlinear Pricing in Oligopoly: How Brand Preferences Shape Market Outcomes

G2TT

来源类型	Discussion paper
规范类型	论文
来源ID	DP15253
	DP15253 Nonlinear Pricing in Oligopoly: How Brand Preferences Shape Market Outcomes
	Renato Gomes; Lucas Maestri; Jean-Marie Lozachmeur
发表日期	2020-09-04
出版年	2020
语种	英语
摘要	We study oligopolistic competition by firms engaging in second-degree price discrimination. In line with the large empirical literature on demand estimation, our theory allows for comovements between consumers' taste for quality and propensity to switch brands. If low-type consumers are sufficiently less (more) brand loyal than high types, (i) quality provision is inefficiently low at the bottom (high at the top) of the product line, and (ii) informational rents are negative (positive) for high types, while positive (negative) for low types. We produce several testable comparative statics on pricing and quality provision, and show that more competitive markets (in the sense that consumers are less brand-loyal) may produce lower welfare. Interestingly, pure-strategy equilibria fail to exist whenever brand loyalty is sufficiently different across consumers types. Accordingly, our theory identifies a new rationale for price/quality dispersion; namely, the interplay between self-selection constraints and heterogeneity in brand loyalty.
主题	Industrial Organization
关键词	Competition Price discrimination Asymmetric information Preference correlation Price dispersion
URL	https://cepr.org/publications/dp15253
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/544228
推荐引用方式 GB/T 7714	Renato Gomes,Lucas Maestri,Jean-Marie Lozachmeur. DP15253 Nonlinear Pricing in Oligopoly: How Brand Preferences Shape Market Outcomes. 2020.