Journal article icon

Journal article

Competing sales channels with captive consumers

Abstract:
We study strategic interactions in markets in which firms sell to consumers both directly and via a competitive channel (CC), such as a price comparison website or marketplace, where multiple sellers’ offers are visible at once. We ask how a CC’s size influences market outcomes when some consumers have limited price information. A bigger CC means more consumers compare prices, increasing within-channel competition. However, we show such seemingly pro-competitive developments can raise prices and harm consumers by weakening between-channel competition.
Publication status:
Published
Peer review status:
Peer reviewed

Actions


Access Document


Publisher copy:
10.1093/ej/ueab075

Authors


More by this author
Institution:
University of Oxford
Division:
SSD
Department:
Oxford Internet Institute
Role:
Author


Publisher:
Oxford University Press
Journal:
Economic Journal More from this journal
Volume:
132
Issue:
642
Pages:
741-766
Publication date:
2021-09-16
Acceptance date:
2021-09-10
DOI:
EISSN:
1468-0297
ISSN:
0013-0133


Language:
English
Keywords:
Pubs id:
1194104
Local pid:
pubs:1194104
Deposit date:
2021-09-14

Terms of use



Views and Downloads






If you are the owner of this record, you can report an update to it here: Report update to this record

TO TOP