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- W2296477850 abstract "In this paper, we tackle the dilemma of pruning versus proliferation in a vertically differentiated oligopoly under the assumption that some firms collude and control both the range of variants for sale and their corresponding prices, likewise a multiproduct firm. We analyse whether pruning emerges and, if so, a fighting brand is marketed. We find that it is always more profitable for colluding firms to adopt a pricing strategy such that some variants are withdrawn from the market. Under pruning, these firms commercialize a fighting brand only when facing competitors in a low-end market. The same findings do not hold when firms are horizontally differentiated along a circle." @default.
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- W2296477850 date "2016-03-01" @default.
- W2296477850 modified "2023-09-23" @default.
- W2296477850 title "Vertical Differentiation and Collusion: Cannibalization or Proliferation?" @default.
- W2296477850 doi "https://doi.org/10.22004/ag.econ.232221" @default.
- W2296477850 hasPublicationYear "2016" @default.
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