2026-05-28T08:42:16Zhttps://riuma.uma.es/rest/oai/requestoai:riuma.uma.es:10630/364712026-02-03T11:32:46Zcom_10630_2254col_10630_37953
RIUMA. Repositorio Institucional de la Universidad de Málaga
author
Ropero-García, Miguel Ángel
2025-01-17T10:10:33Z
2025-01-17T10:10:33Z
2021
Ropero MÁ. Entry deterrence when the potential entrant is your competitor in a different market. South Econ J. 2021; 87: 1010–1030. https://doi.org/10.1002/soej.12478
https://hdl.handle.net/10630/36471
10.1002/soej.12478
In this article, we present a two-period model in which one firm operates in two markets: a monopoly and a duopoly. Assuming that this firm has private information on the cross-price elasticity of demand between the products sold in both markets, it limits its quantity supplied in the monopoly market in order to make its rival in the other market believe that entry into the monopolized market is unprofitable. As a result of this strategy, the average prices observed in both markets increase. This result suggests that the detrimental effects of entry deterrence on consumers´ welfare are stronger than those predicted by previous literature.
eng
Monopolios
Competencia económica
Entry deterrence when the potential entrant is your competitor in a different market
journal article
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