Remarks on good vs. bad characteristics in vertical differentiation

Authors
Bontems, P Requillart, V
Citation
P. Bontems et V. Requillart, Remarks on good vs. bad characteristics in vertical differentiation, ECON LETT, 70(3), 2001, pp. 427-429
Citations number
1
Categorie Soggetti
Economics
Journal title
ECONOMICS LETTERS
ISSN journal
01651765 → ACNP
Volume
70
Issue
3
Year of publication
2001
Pages
427 - 429
Database
ISI
SICI code
0165-1765(200103)70:3<427:ROGVBC>2.0.ZU;2-V
Abstract
In a recent paper, Garella and Lambertini [Economic Letters 65 (1999) 245] claim that we should distinguish between good and bad characteristics in an alysing the incentives for a duopoly to vertically differentiate their prod ucts. We prove here that the results obtained by the authors are false and we show that in the context of their model, maximum differentiation should appear whether characteristic is good or bad. (C) 2001 Elsevier Science BN. All rights reserved.