Intra-firm Branch Competition for a Monopolist

Wenli Cheng () and Yew-Kwang Ng ()

Australian Economic Papers, 1999, vol. 38, issue 3, pages 238-49

Abstract: This paper studies the effect of intra-firm branch competition in a monopoly setting. It demonstrates that intra-firm branch competition has a significant impact on the Firm's market decisions, and consequently on the market outcome. The paper has identified the sufficient conditions under which a branch-competitive monopoly is superior to a pure monopoly from the consumer's viewpoint in that the former supplies more quantity and higher quality at the same price. Copyright 1999 by Blackwell Publishers Ltd/University of Adelaide and Flinders University of South Australia

Date: 1999

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