1,721,031 research outputs found
Organizzazione verticale, performance, scelte finanziarie e attività di esportazione di imprese eterogenee: internazionalizzazione e outsourcing
No full textLa scelta di produrre internamente (make) o acquisire (buy) può rivelarsi cruciale per la performance di un’impresa in un contesto di incertezza e impossibilità dei contratti di coprire tutte le possibili evenienze e dettagli rilevanti. Il nostro scopo è studiare la relazione tra integrazione verticale, efficienza, scelte finanziarie e grado di internazionalizzazione, sia da un punto di vista teorico che empirico. Useremo dati europei a livello di impresa (EFIGE, Bruegel), contenenti informazioni dettagliate sulle attività di internazionalizzazione integrate con dati di bilancio (Amadeus di Bureau van Dijk). Accanto alle tradizionali tecniche econometriche, utilizzeremo come strumento di analisi le reti bayesiane, una metodologia statistica basata sulla sintesi tra la teoria dei grafi e gli studi di indipendenza condizionata, che fornisce sia una rappresentazione grafica intuitiva delle relazioni qualitative tra le variabili di interesse, sia un meccanismo di inferenza efficiente
Market integration and network industries
Full text linkWhat is the effect of product market integration on the market equilibrium in the presence of international externalities in consumption ? To address this question, we set up a spatial two-country model and we find that the economic forces at work may have an ambiguous effect on prices.compatibility; horizontal differentiation; network effect
Environmental vs hedonic quality: which policy can help in lowering pollution emissions?
Full text linkIn this paper we compare two policy instruments that can be adopted to curb carbon emissions. The first is a conventional pollution tax, the second is an environmental campaign raising consumers’ awareness about the relative impact of their consumption choices. The comparison is carried out in two different scenarios, depending on whether consumers’ aprioristic preferences are such that they value the environmental attribute of a product (environmental quality) or its pure performance (hedonic quality) . In the case of environmental quality, the campaign is preferred under some specific conditions based on consumer heterogeneity, cost-effective analysis, and pollution level. On the contrary, the pollution tax is always preferred in the case of hedonic quality. Therefore, we show that the relative efficiency of the two policy instruments crucially depends on consumers’ initial concern for the environment, which may vary across countries due to socio-economic conditions
Asymmetric Complements in a Vertically Differentiated Market: Competition or Integration?
No full textWe study the effects of integration of asymmetric complements when they are vertically differentiated. While confirming the standard effects of integration, namely the internalization of the double marginalization externality and the reduction of competition, we point out a new positive quality effect, due to an increase in the average quality of the goods on sale. We also characterize the conditions under which integration turns out to be optimal for both firms' and consumers. We thus provide valuable directions for competition agencies when considering the joint ownership in vertically differentiated markets. © 2014 The University of Manchester and John Wiley & Sons Ltd
The Discrete Charm of Uniform Linear Pricing of an Input Production Joint Venture
Full text linkA popular way of obtaining essential inputs is based on the establishment of an input production joint venture (IPJV) in the upstream (U) section of the vertical chain of production by firms competing and selling final goods downstream (D). Different governances may be designed for the management of an IPJV according to the ownership structure, the degree of delegation granted to the IPJV by parent firms and the extent of competition in the D market. Industry optimal arrangements with nonlinear pricing may be hard to implement and may be banned by regulators, mainly in the case of minimal delegation based on coordination (collusion) among the D firms. A handy and endurable governance turns out to be maximal delegation, i.e., an independent IPJV, seasoned with linear uniform pricing, even if this solution may contain some inefficiency
End-of-pipe or cleaner production? How to go green in presence of income inequality and pro-environmental behavior
Full text linkIn this paper we consider a vertically differentiated duopoly model in which a green producer competes
with a brown rival in a market in which consumers are environmentally concerned. In particular, consumers
are assumed to value not only the intrinsic quality of a certain product, but also its environmental
impact. This environmental valuation has a positional content: consumers attach a positive attribute to
the green product, while penalizing the brown one. In this context, we consider the choice of the green
firm between cleaner and end-of-pipe abatement efforts. We find that the interplay between the intensity
of market competition, consumers' income disparity and environmental concern can play a crucial role in
directing the green producer towards one or the other technological choice. More precisely, the adoption
of cleaner production technologies can be discouraged by low average income and by tough competition,
while it can be spurred by the moral/social incentive towards pro-environmental behavior
Input production joint venture
Full text linkIn many industries, it is quite common to observe firms delegating the production of essential inputs to independent ventures jointly established with competing rivals. The diffusion of this arrangement and the favourable stance of competition authorities call for the assessment of the social and private desirability of Input Production Joint Ventures (IPJV), which represent a form of input production cooperation, scantly investigated so far. IPJV can be seen as an intermediate organizational setting lying between the two extremes of vertical integration and vertical separation, with a major difference, due to partial collusion. Our investigation is based on an oligopoly model with horizontally differentiated goods. We characterize the conditions under which IPJV is privately optimal finding that firms' incentives may be welfare detrimental. We also provide a rationale for the empirical relevance of IPJV both in terms of its ability to survive and in terms of disengagement incentives which account for the large number of divorces among members of joint ventures. The stance of the paper as to IPJV is more cautious with respect to the received wisdom of competition authorities and in favour of the wide application of the rule of reason
Compatibility Choice in vertically differentiated technologies
Full text linkWe analyse firms’ incentives to provide two-way compatibility between two network goods with different intrinsic qualities. We study how the relative importance of vertical differentiation with respect to the network effect influences the price competition as well as the compatibility choice. The final degree of compatibility allows firms to manipulate the overall differentiation. Under weak network effect, full compatibility may arise : the low quality firm has higher incentives to offer it in order to prevent the rival from dominating the market. Under strong network effect we observe multiple equilibria for consumers’ demand. However, in any equilibrium of the full game, coordination takes place on the high quality good which, we assume, always maintains its overall quality dominance.compatibility, vertical differentiation, network effect
Object-oriented Bayesian networks for a decision support system for antitrust enforcement
Full text linkWe study an economic decision problem where the actors are two firms and the Antitrust Authority whose main task is to monitor and prevent firms' potential anti-competitive behaviour and its effect on the market. The Antitrust Authority's decision process is modelled using a Bayesian network where both the relational structure and the parameters of the model are estimated from a data set provided by the Authority itself. A number of economic variables that influence this decision process are also included in the model. We analyse how monitoring by the Antitrust Authority affects firms' strategies about cooperation. Firms' strategies are modelled as a repeated prisoner's dilemma using object-oriented Bayesian networks. We show how the integration of firms' decision process and external market information can be modelled in this way. Various decision scenarios and strategies are illustrated
Input Production Joint Venture
Full text linkIn many industries it is quite common to observe firms delegating the production of essential inputs to independent ventures jointly established with competing rivals. The diffusion of this arrangement and the favourable stance of competition authorities call for the assessment of the social and private desirability of Input Production Joint Ventures (IPJV), which represent a form of input production cooperation, not investigated so far. IPJV can be seen as an intermediate organizational setting lying between the two extremes of vertical integration and vertical separation. Our investigation is based on an oligopoly model with horizontally differentiated goods. We characterize the conditions under which IPJV is privately optimal finding that firms’ incentives may be welfare detrimental. We also provide a rationale for the empirical relevance of IPJV both in terms of its ability to survive and in terms of disengagement incentives.Input Production Joint Venture, Horizontal Differentiation, Oligopoly
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