Autore
Albaek, Svend

Titolo
Upstream or downstream information sharing?
Periodico
European University Institute of Badia Fiesolana (Fi). Department of Economics - Working papers
Anno: 1991 - Fascicolo: 45 - Pagina iniziale: 1 - Pagina finale: 24

In a price-setting vertically separated duopoly model l analyse, whether the manufacturers will share private demand information themselves, or will leave this to their retailers. In a vertically integrated price-setting duopoly with private demand information, the firms will benefit, from committing, before they receive their private demand signals, to pool this information with their rival. Taking this as a starting point, the question asked in this paper is whether the manufacturers, who receive the information through market research, will commit to share this information themselves, or hand it over to their retailers knowing that the retailers subsequently will share the demand signals. The expected profits to the manufacturers from both scenarios are calculated. A comparison shows that the manufacturers always prefer to share themselves.



Testo completo: http://hdl.handle.net/1814/384

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