Empirical Regularities on Vertical Restraints∗
نویسنده
چکیده
This paper exploits a unique panel dataset of Spanish manufacturing firms containing information on vertical restraints with retailers and wholesalers. This data reports detailed information on firm distribution systems and the type of vertical restraints that firms impose: Franchise fee, Resale price maintenance, Full-line forcing, Exclusive territories and Exclusive dealing, which is a rather unusual feature. The aim of this paper is twofold. First, the scope of vertical restraints are analyzed through the identification of industry and size heterogeneities for each vertical restraint. Secondly, the determinants of resale price maintence are explored focusing on the effect of the upstream firm effort to increase demand. A simple theoretical example is presented and a probability model is used to analyze the empirical determinants of limiting the resale price. The results confirm that those firms that make greater advertising effort impose resale price more frequently. Besides, larger firms and those firms that impose other restraints such as exclusive territories limit the resale price more frequently.
منابع مشابه
Of the Global Antitrust Institute , Antonin Scalia
First, though the Draft Guidelines appear to apply a “rule of reason” or effects-based approach to most vertical restraints, Part I.3 and Part I, Chapter 1 carve out resale price maintenance (RPM) practices on the ground that they “usually have significant anticompetitive effects and, as a general rule, they tend to impede fair competition.” Given the economic theory and empirical evidence show...
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