Nonlinear pricing and exclusion: II. Must-stock products

• 成果类型: Article
• 署名作者: Chone, Philippe; Linnemer, Laurent
• 刊物名称: RAND JOURNAL OF ECONOMICS
• ISSN/ISSBN: 0741-6261
• DOI: 10.1111/1756-2171.12138
• 发表日期: 2016
• 页码: 631-660
• 关键词: naked exclusion; loyalty discounts; CONTRACTS

摘要

Dominant firms often are unavoidable trading partners. Buyers may consider switching a fraction of their requirements to rival products, but that fraction is highly uncertain in rapidly evolving industries. Nonlinear pricing serves to adjust the competitive pressure placed on rival firms, depending on the joint distribution of the buyer willingness to pay for the rival's good and the share of contestable demand. Concave price-quantity schedules erect barriers to entry. Convex parts in schedules introduce barriers to expansion. Dominant firms use all-units discounts to create high entry barriers for rival firms with intermediate levels of contestable demand.