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A Comment on a Model of Vertical Product Differentiation

218

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1

References

1992

Year

Abstract

In a duopoly model with vertical differentiation, if the firms do not cover the market, the lower-quality firm chooses a quality level exactly 4/7 of that of the higher-quality firm and chooses a price that is 2/7 of the price of the higher-quality firm. Copyright 1992 by Blackwell Publishing Ltd.

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