Abstract

This study investigates the effect of entry on consumer welfare in a Cournot oligopoly with differentiated products. Considering the entry of a firm that is less efficient than incumbents, I show that in contrast to the case of homogeneous products, entry is detrimental to consumers if the entrant is sufficiently inefficient.

Full Text
Published version (Free)

Talk to us

Join us for a 30 min session where you can share your feedback and ask us any queries you have

Schedule a call