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Author:Morasch, K.
Title:Strategic alliances: a substitute for strategic trade policy?
Journal:Journal of International Economics
2000 : OCT, VOL. 52:1, p. 37-68
Index terms:INTERNATIONAL ECONOMICS
OLIGOPOLY
STRATEGY
Language:eng
Abstract:In this paper loose competition policy towards strategic alliances is examined as an alternative to strategic trade policy. Alliances are assumed to design a strategic contract which changes incentives in the output market. Permitting strategic alliances and using strategic trade policy yield exactly the same outcome if the good is not consumed domestically and all firms of a country form a single alliance.
SCIMA record nr: 218490
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