SEQUENTIAL MERGERS WITH DIFFERING DIFFERENTIATION LEVELS *

Takeshi Ebina and Daisuke Shimizu

Australian Economic Papers, 2009, vol. 48, issue 3, pages 237-251

Abstract: We study sequential merger incentives under presence of product differentiation. Two sets of firms produce closely related goods, whereas each set produces more differentiated goods. Merger incentives under product differentiation are found to be stronger for two firms producing closely related goods than more differentiated goods. Also, after one merger, other firms are willing to follow with their own merger, resulting in sequential mergers. This result is consistent with the recent mergers in the video game software industry in Japan. Copyright 2009 The Authors. Journal compilation 2009 Blackwell Publishing Ltd/University of Adelaide and Flinders University.

Date: 2009

Downloads: (external link)
http://www.blackwell-synergy.com/links/doi/10.1111/j.1467-8454.2009.00373.x link to full text (text/html)
Access to full text is restricted to subscribers.

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: http://EconPapers.repec.org/RePEc:bla:ausecp:v:48:y:2009:i:3:p:237-251

Ordering information: This journal article can be ordered from
http://www.blackwell ... bs.asp?ref=0004-900X

Access Statistics for this article

Australian Economic Papers is edited by Daniel Leonard

More articles in Australian Economic Papers from Blackwell Publishing
Series data maintained by Christopher F. Baum ().