Arbeitspapier
Market Coverage and the Existence of Equilibrium in a Vertically Differentiated Duopoly
The existence of a pure-strategy subgame perfect equilibrium in qualities and prices is investigated in a duopoly model of vertical differentiation where quality improvements require a quadratic variable cost. The alternative cases of partial and full market coverage are considered. It is shown that there exists a parameter range where the incentive to decrease differentiation arises for the high-quality firm, preventing firms to reach a pure-strategy duopoly equilibrium.
- Language
-
Englisch
- Bibliographic citation
-
Series: Quaderni - Working Paper DSE ; No. 311
- Classification
-
Wirtschaft
- Event
-
Geistige Schöpfung
- (who)
-
Lambertini, Luca
Ecchia, Giulio
- Event
-
Veröffentlichung
- (who)
-
Alma Mater Studiorum - Università di Bologna, Dipartimento di Scienze Economiche (DSE)
- (where)
-
Bologna
- (when)
-
1998
- DOI
-
doi:10.6092/unibo/amsacta/4997
- Handle
- Last update
-
10.03.2025, 11:41 AM CET
Data provider
This object is provided by:
ZBW - Deutsche Zentralbibliothek für Wirtschaftswissenschaften - Leibniz-Informationszentrum Wirtschaft. If you have any questions about the object, please contact the data provider.
ZBW - Deutsche Zentralbibliothek für Wirtschaftswissenschaften - Leibniz-Informationszentrum Wirtschaft. If you have any questions about the object, please contact the data provider.
Object type
- Arbeitspapier
Associated
- Lambertini, Luca
- Ecchia, Giulio
- Alma Mater Studiorum - Università di Bologna, Dipartimento di Scienze Economiche (DSE)
Time of origin
- 1998
Other Objects (12)
Sequential Entry in a Vertically Differentiated Duopoly
Endogenous timing and the choice of quality in a vertically differentiated duopoly
Low-Quality Leadership in a Vertically Differentiated Duopoly with Cournot Competition
Sequential Vs Simultaneous Equilibria in A Differentiated Duopoly
Choosing Roles in a Duopoly for Endogenously Differentiated Products
Price vs Quantity in a Repeated Differentiated Duopoly
Existence of Equilibrium in A Differentiated Duopoly With Network Externalities
Prisoners' Dilemma in Duopoly Supergames
Dynamic Duopoly with Vertical Differentiation
Process and Product Innovation in a Vertically Differentiated Monopoly
Dynamic Hotelling Duopoly with Linear Transportation Costs
Optimal Fiscal Regime in a Spatial Duopoly
Sequential Entry in a Vertically Differentiated Duopoly
Endogenous timing and the choice of quality in a vertically differentiated duopoly
Low-Quality Leadership in a Vertically Differentiated Duopoly with Cournot Competition
Sequential Vs Simultaneous Equilibria in A Differentiated Duopoly
Choosing Roles in a Duopoly for Endogenously Differentiated Products
Price vs Quantity in a Repeated Differentiated Duopoly
Existence of Equilibrium in A Differentiated Duopoly With Network Externalities
Prisoners' Dilemma in Duopoly Supergames
Dynamic Duopoly with Vertical Differentiation
Process and Product Innovation in a Vertically Differentiated Monopoly
Dynamic Hotelling Duopoly with Linear Transportation Costs
Optimal Fiscal Regime in a Spatial Duopoly
Sequential Entry in a Vertically Differentiated Duopoly
Endogenous timing and the choice of quality in a vertically differentiated duopoly
Low-Quality Leadership in a Vertically Differentiated Duopoly with Cournot Competition
Sequential Vs Simultaneous Equilibria in A Differentiated Duopoly
Choosing Roles in a Duopoly for Endogenously Differentiated Products
Price vs Quantity in a Repeated Differentiated Duopoly
Existence of Equilibrium in A Differentiated Duopoly With Network Externalities
Prisoners' Dilemma in Duopoly Supergames
Dynamic Duopoly with Vertical Differentiation
Process and Product Innovation in a Vertically Differentiated Monopoly
Dynamic Hotelling Duopoly with Linear Transportation Costs