WHY DO LARGER BUYERS PAY LOWER PRICES - INTENSE SUPPLIER COMPETITION

Authors
SNYDER CM
Citation
Cm. Snyder, WHY DO LARGER BUYERS PAY LOWER PRICES - INTENSE SUPPLIER COMPETITION, Economics letters, 58(2), 1998, pp. 205-209
Citations number
32
Categorie Soggetti
Economics
Journal title
Economics letters → ACNP
ISSN journal
01651765
Volume
58
Issue
2
Year of publication
1998
Pages
205 - 209
Database
ISI
SICI code
0165-1765(1998)58:2<205:WDLBPL>2.0.ZU;2-Z
Abstract
The paper provides a theoretical explanation of the common claim that larger buyers pay lower prices. In the model, suppliers compete more a ggressively for the business of larger buyers, much as they do in 'boo m' periods of Rotemberg and Saloner. (C) 1998 Elsevier Science S.A.