Price discrimination and price dispersion in a duopoly

Arbeitspapier

This paper analyses the problem of price discrimination in a market where consumers have heterogeneous preferences both over a horizontal parameter (brand) and a vertical one (quality). Discriminatory contracts are characterised for different market structures. It is shown that price dispersion, i.e. the observed range of prices for each class of customers, increases almost everywhere as competition is introduced in the market. The findings are discussed with reference to the UK mobile telecommunications market.

Object Details

• Language: Englisch

References and Relationships

• Bibliographic citation: Series: Nota di Lavoro ; No. 33.1998

Classification and Topics

• Classification: Wirtschaft ; Market Structure, Pricing, and Design: Oligopoly and Other Forms of Market Imperfection ; Oligopoly and Other Imperfect Markets
• Subject: Price discrimination ; Price dispersion ; Duopol ; Preisdifferenzierung ; Wirtschaftliche Effizienz ; Benchmarking ; Theorie

Contributors, Places and Time

• Event: Geistige Schöpfung
• (who): Valletti, Tommaso M.
• Event: Veröffentlichung
• (who): Fondazione Eni Enrico Mattei (FEEM)
• (where): Milano
• (when): 1998

Further information

• Handle: http://hdl.handle.net/10419/154891
• Last update: 10.03.2025, 11:44 AM CET