Middlemen behaviour and generic advertising rents in competitive interrelated industries

Competitive Equilibrium with Middlemen: An Empirical Study

Competitive Disadvantage and Discretionary Disclosure in Industries

We explore how competitive disadvantage affects firms’ incentives to disclose or withhold information of common interest to competing firms within a Cournot duopoly. We establish the existence of a unique disclosure equilibrium to the problem of firms disclosing private information about aggregate demand, and show that firms choose to withhold information of either very high or very low demand....

Middlemen versus Market Makers: A Theory of Competitive Exchange

We present a model in which the microstructure of trade in a commodity or asset is endogenously determined. Producers and consumers of a commodity (or buyers and sellers of an asset) who wish to trade can choose between two competing types of intermediaries: “middlemen” (dealer/brokers) and “market makers” (specialists). Market makers post publicly observable bid and ask prices, whereas the pri...

Competitive Advantage in Technology Intensive Industries

This chapter introduces the learner to the meaning of competitive advantage and posits that a firm’s strategy is defined as the managers’ theory about how to gain and sustain competitive advantage. The manner in which a firm creates its competitive advantage by creating more economic value than its rivals, and explains that profitability depends upon value, price, and costs is demonstrated. The...

Competitive Targeted Advertising Over Networks

Recent advances in information technology have allowed firms to gather vast amounts of data regarding consumers’ preferences and the structure and intensity of their social interactions. This paper examines a game-theoretic model of competition between firms which can target their marketing budgets to individuals embedded in a social network. We provide a sharp characterization of the optimal t...