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Author : Pio Baake
Publisher :
ISBN 13 :
Total Pages : 16 pages
Book Rating : 4.:/5 (258 download)
Download or read book Horizontal Product Differentiation, Network Externalities and Compatibility written by Pio Baake and published by . This book was released on 1995 with total page 16 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Author : Pio Baake
Publisher :
ISBN 13 : 9783931258924
Total Pages : 30 pages
Book Rating : 4.2/5 (589 download)
Download or read book Vertical Product Differentiation, Network Externalities, and Compatibility Decisions written by Pio Baake and published by . This book was released on 1997 with total page 30 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Author : Sumit Sarkar
Publisher :
ISBN 13 :
Total Pages : 0 pages
Book Rating : 4.:/5 (137 download)
Download or read book On Vertical Product Differentiation, Network Externalities and Compatibility Decisions written by Sumit Sarkar and published by . This book was released on 2005 with total page 0 pages. Available in PDF, EPUB and Kindle. Book excerpt: Market mechanism may or may not throw up compatibility in markets for systems where network effect arises due to complementarity of component parts of a system. We consider a game, where, in stage 1, the firms decide whether to standardise on a single technological platform or not and at the same time they choose the quality of their product. In stage 2, the firms compete in prices. We find that the firms' choice of quality and technological platform depends on the degree of product differentiation and the coefficient of network externality.
Author : Patrick Esser
Publisher :
ISBN 13 :
Total Pages : 23 pages
Book Rating : 4.:/5 (65 download)
Download or read book Network Externality, Compatibility and Product Differentiation written by Patrick Esser and published by . This book was released on 1988 with total page 23 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Author : Nicholas Economides
Publisher :
ISBN 13 :
Total Pages : 0 pages
Book Rating : 4.:/5 (137 download)
Download or read book Compatibility and Market Structure for Network Goods written by Nicholas Economides and published by . This book was released on 2008 with total page 0 pages. Available in PDF, EPUB and Kindle. Book excerpt: This paper analyzes the economics of industries where network externalities are significant. In such industries, firms have strong incentives to adhere to common technical compatibility standards so that they reap the network externalities of the whole group. However, a firm also benefits from producing an incompatible product thereby increasing its horizontal product differentiation. We show how competition balances these opposing incentives. We find that market equilibria often exhibit extreme disparities in sales, output prices, and profits across firms, despite no inherent differences in the firms' production technologies. This may explain the frequent domination of network industries by one or two firms. We also find that the presence of network externalities dramatically affects conventional welfare analysis, as total surplus in markets where these externalities are strong is highest under monopoly and declines with entry of additional firms.
Author : Michael L. Katz
Publisher :
ISBN 13 :
Total Pages : 54 pages
Book Rating : 4.3/5 (9 download)
Download or read book Network Externalities, Competition, and Compatibility written by Michael L. Katz and published by . This book was released on 1983 with total page 54 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Author : Carmen Matutes
Publisher :
ISBN 13 :
Total Pages : 71 pages
Book Rating : 4.:/5 (193 download)
Download or read book "Mix and Match" written by Carmen Matutes and published by . This book was released on 1987 with total page 71 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Author : Bernd Woeckener
Publisher :
ISBN 13 :
Total Pages : 50 pages
Book Rating : 4.:/5 (76 download)
Download or read book Network Effects, Compatibility Decisions, and Horizontal Product Differentiation written by Bernd Woeckener and published by . This book was released on 1999 with total page 50 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Author : Barrie R. Nault
Publisher :
ISBN 13 :
Total Pages : 44 pages
Book Rating : 4.:/5 (129 download)
Download or read book Product Differentiation and Market Segmentation of Information Goods written by Barrie R. Nault and published by . This book was released on 2006 with total page 44 pages. Available in PDF, EPUB and Kindle. Book excerpt: Large sunk costs of development, negligible costs of reproduction and distribution and substantial economies of scale make information goods distinct from physical goods. Consequently,how to take advantage of the specific characteristics of information goods is an important managerial problem. Price discrimination and product differentiation are common ways this issue has been addressed. In previous literature, vertical differentiation and related pricing strategies have been researched in contexts such as nonlinear utility functions,network externalities, competition and anti-piracy. Little attention has been paid to the relationship between market segmentation and product differentiation. In this paper, we emphasize the interaction of market segmentation and product differentiation as we believe that any product differentiation must be based on existing market segmentation. In our model, we treat vertical differentiation as a special case of horizontal differentiation, and we model the interaction between different market segments showing the differences in product differentiation strategies when moving from horizontal to vertical differentiation. We find that it is always sub-optimal to differentiate information goods if the market is not fully differentiated or if characteristics of the information goods are not specifically designed for certain market segments. We divide characteristics of information goods into four categories according to the ease of differentiation and design guidelines for firms to differentiate their goods based on these characteristics. We further provide guidance on whether to merge one or several versions when costs for versioning information goods are significant.
Author : Patrick Esser
Publisher :
ISBN 13 :
Total Pages : 30 pages
Book Rating : 4.:/5 (92 download)
Download or read book Marketing Compatible, Yet Differentiated Products written by Patrick Esser and published by . This book was released on 1988 with total page 30 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Author :
Publisher :
ISBN 13 :
Total Pages : 44 pages
Book Rating : 4.:/5 (837 download)
Download or read book Differentiated Networks written by and published by . This book was released on 2007 with total page 44 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Author : Oz Shy
Publisher : Cambridge University Press
ISBN 13 : 1139432273
Total Pages : 264 pages
Book Rating : 4.1/5 (394 download)
Download or read book The Economics of Network Industries written by Oz Shy and published by Cambridge University Press. This book was released on 2001-01-08 with total page 264 pages. Available in PDF, EPUB and Kindle. Book excerpt: This book introduces upper-level undergraduates, graduate students, and researchers to the latest developments in network economics, one of the fastest-growing fields in all industrial organization. Network industries include the Internet, e-mail, telephony, computer hardware and software, music and video players, and service operations in the banking, legal, and airlines industries among many others. The work offers an overview of the subject matter as well as investigations about specific industries. It conveys the essential features of how strategic interactions between firms are affected by network activity, as well as covering social interaction and its influence on consumers' choices of products and services. Virtually no calculus is used in the text, and each chapter ends with a series of exercises and selected references. The text may be used for both one- and two-semester courses.
Author : Bernd Woeckener
Publisher :
ISBN 13 :
Total Pages : 46 pages
Book Rating : 4.:/5 (763 download)
Download or read book Compatibility Decisions, Horizontal Product Differentiation, and Standards Wars written by Bernd Woeckener and published by . This book was released on 2001 with total page 46 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Author : Jianfu Zhou
Publisher :
ISBN 13 :
Total Pages : pages
Book Rating : 4.:/5 (53 download)
Download or read book Market Share Rivalry with Compatibility But Without Network Externalities written by Jianfu Zhou and published by . This book was released on 1989 with total page pages. Available in PDF, EPUB and Kindle. Book excerpt:
Author :
Publisher :
ISBN 13 :
Total Pages : 23 pages
Book Rating : 4.:/5 (916 download)
Download or read book Vertical Product Differentiation, Network Externalities and Market-defined Standards written by and published by . This book was released on 1990 with total page 23 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Author : André De Palma
Publisher :
ISBN 13 :
Total Pages : 33 pages
Book Rating : 4.:/5 (63 download)
Download or read book Partial Compatibility with Network Externalities and Double Purchase written by André De Palma and published by . This book was released on 1992 with total page 33 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Author : Bing Jing
Publisher :
ISBN 13 :
Total Pages : 22 pages
Book Rating : 4.:/5 (129 download)
Download or read book Product Line Design in Markets with Network Externalities written by Bing Jing and published by . This book was released on 2014 with total page 22 pages. Available in PDF, EPUB and Kindle. Book excerpt: The extant economic and marketing literature on product line design mainly addresses firm's product decisions in conventional markets. However, many products demonstrate salient network externalities in their consumption, such as computers, software, telephone, telefax, and Internet routers. To our best knowledge, the role of network externalities in product line design has not been addressed. This paper fills the gap by investigating how the optimal structure and prices of a product line depend on the network externalities in the product market. A fundamental insight we obtain is that, in markets with network effects, the firm has a greater incentive to extend the length (as measured by the number of product varieties) of its product line. In our vertical model, market segmentation is sub-optimal in the absence of network externality. With externality, the monopolist offers two distinct products demonstrating maximum differentiation. The low-end product is used primarily to expand the product network, and is offered below marginal cost when externalities are sufficiently strong.
