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| Tekijä: | Arbatskaya, M. |
| Otsikko: | Can low-price guarantees deter entry? |
| Lehti: | International Journal of Industrial Organization
2001 : NOV, VOL. 19:9, p. 1387-1406 |
| Asiasana: | CONTESTABLE MARKETS ENTRY CONDITIONS PRICE LEVEL |
| Kieli: | eng |
| Tiivistelmä: | This paper examines the strategic use of low-price guarantees (LPGs) as an entry deterrent. The entire space of contemporaneous LPG messages is partitioned according to their ability to deter entry and/or increase the incumbent's profits. While most price-matching and price-beating guarantees cannot deter entry into a perfectly contestable market, there do exist special classes of price-beating guarantees that enable the incumbent to prevent entry. |
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