haku: @indexterm FIXED COSTS / yhteensä: 59
viite: 10 / 59
Tekijä: | Asplund, M. |
Otsikko: | Risk-averse firms in oligopoly |
Lehti: | International Journal of Industrial Organization
2002 : SEP, VOL. 20:7, p. 995-1012 |
Asiasana: | Oligopoly Risk Investment appraisal Fixed costs |
Kieli: | eng |
Tiivistelmä: | The paper provides a framework that accommodates a wide range of alternative assumptions regardÃng the nature of competition and types of uncertainty. It shows how risk aversion influences firms' best-response strategies. Only in the case of marginal cost uncertainty does higher risk aversion make competition unambiguously softer. The risk-averse best response strategies depend on the level of fixed costs. This fact is used to analyse strategic investment in capacity and the importance of accumulated profits. |
SCIMA