Price-Cost Margins and Market Structure

Market Structure and Price Adjustment in the Iranian Tea Market

market structure and price adjustment in the iranian tea market

Slotting Allowances and Price-Cost Margins: A Note

It has become common practice for retail grocers to charge grocery manufacturers a slotting allowance for placing products on the retail shelf. Manufacturers view the allowance as anti-competitive. Retailers view it as compensation for the risks associated with stocking new products. The largely theoretical literature on the subject is consistent with both views. This article proposes an empiri...

Differential Efficiency, Market Structure, and Price

A persistent question in industrial economics is the underpinning of the link between market concentration and price. How much of the link can be attributed to market power and how much to market efficiency? This paper develops a theoretical model to address that question. Applied to the US portland cement industry, the model indicates that both impacts matter. In relative terms, however, the m...

Cost Structure, Market Structure and Outsourcing

A partial equilibrium model is developed to investigate the interplay of production technology and the difference of market structure between upstream and downstream markets on firms’ outsourcing choice. It is found that whether outsourcing or vertical integration emerges as the optimal organizational structure depends not only on the cost structure of competing upstream firms, but also on the ...