Biglaiser, Gary, Crémer, Jacques and Dobos, Gergely (2013) Heterogenous switching costs. TSE Working Paper, n. 13-451, Toulouse

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Abstract

We consider a simple two period model where consumers have different switching costs. Before the market opens, there was an incumbent who sold to all consumers. We identify the equilibrium both with Stackelberg and Bertrand competition and show how the presence of low switching cost consumers benefits the incumbent, despite the fact that it never sells to any of them.

Item Type: Monograph (Working Paper)
Language: English
Date: December 2013
Place of Publication: Toulouse
Uncontrolled Keywords: switching, cost
JEL Classification: D43 - Oligopoly and Other Forms of Market Imperfection
L13 - Oligopoly and Other Imperfect Markets
Subjects: B- ECONOMIE ET FINANCE
Divisions: TSE-R (Toulouse)
Institution: Universite Toulouse 1 Capitole
Site: UT1
Date Deposited: 09 Jul 2014 17:40
Last Modified: 02 Apr 2021 15:48
OAI Identifier: oai:tse-fr.eu:27787
URI: https://publications.ut-capitole.fr/id/eprint/15787

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