Brand, Product Differentiation and Postal Market Outcomes

Isabelle Carslake (), George Houpis and Ellie Monaghan
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Isabelle Carslake: Frontier Economics
George Houpis: Frontier Economics
Ellie Monaghan: Frontier Economics

A chapter in New Business and Regulatory Strategies in the Postal Sector, 2018, pp 219-233 from Springer

Abstract: Abstract Letters markets were opened to full competition by 2011 in most EU countries. We can thus observe some market outcomes post liberalization: the broad picture suggests that customers have been somewhat sticky. In this paper, we use a differentiated Bertrand economic model—typically used for merger simulation—to assess possible factors that affect the development of competition in post. This model captures the apparent characteristics of different postal products markets based on evidence of current market outcomes and can assist policy makers in evaluating policies and assessing the strength of some determinants of market outcomes, such as product differentiation and possibly relative strength of the brand of the incumbent.

Date: 2018
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Persistent link: https://EconPapers.repec.org/RePEc:spr:topchp:978-3-030-02937-1_17

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DOI: 10.1007/978-3-030-02937-1_17

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