Profit enhancing competitive pressure in vertically related industries

Noriaki Matsushima and Tomomichi Mizuno

No 2009-03, Discussion Papers from Kobe University, Graduate School of Business Administration

Abstract: Under a simple Cournot model with vertical relations, when downstream firms engage in process R&D, the profits of upstream firms in which upstream competition exists may be larger than those in which each upstream firm has a bilateral monopoly relation with its buyer (downstream firm).

Keywords: upstream firm; competition; bilateral oligopoly (search for similar items in EconPapers)
JEL-codes: L13 O31 (search for similar items in EconPapers)
Pages: 8 pages
Date: 2009-02
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https://www.b.kobe-u.ac.jp/papers_files/2009_03.pdf First version, 2009 (application/pdf)

Related works:
Journal Article: Profit-enhancing competitive pressure in vertically related industries (2012)
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