Pricing differentiated products with indifferent consumers

Authors
Citation
R. Santore, Pricing differentiated products with indifferent consumers, ECON LETT, 62(1), 1999, pp. 43-52
Citations number
7
Categorie Soggetti
Economics
Journal title
ECONOMICS LETTERS
ISSN journal
01651765 → ACNP
Volume
62
Issue
1
Year of publication
1999
Pages
43 - 52
Database
ISI
SICI code
0165-1765(199901)62:1<43:PDPWIC>2.0.ZU;2-B
Abstract
I analyze a linear city duopoly in which a fraction of consumers ('switcher s') travel without incurring transportation costs. Roughly, a pure-strategy equilibrium exists if and only if the number of switchers is small. A mixe d-strategy equilibrium generally exists. (C) 1999 Elsevier Science S.A. All rights reserved.