Costs and Revenues of à la Carte (ALC) Versus Bundling in Television Markets

Edward Nissan and Shahdad Naghshpour

Journal of Regional Analysis and Policy, 2014, vol. 44, issue 01

Abstract: This paper compares costs and revenues of two modes of provision of pay-television by cable and satellite providers. The two modes are bundling and à la carte, both of which are subscription-based services. Results of this research show that on average à la carte is more expensive to deliver than bundling, while revenues of both are comparable. The paper also deals with the economics of urban agglomeration and regional networks. It shows that im-provement in technology makes it possible to simulate agglomeration in metropolitan areas with networks, which makes it possible for small urban regions and rural regions to share in network outputs.

Keywords: Community/Rural/Urban Development; Industrial Organization (search for similar items in EconPapers)
Date: 2014
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Persistent link: https://EconPapers.repec.org/RePEc:ags:jrapmc:243963

DOI: 10.22004/ag.econ.243963

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