scholarly journals The Effects of Downstream Competition on Upstream Innovation and Licensing

2018 ◽  
Author(s):  
Jean-Etienne de Bettignies ◽  
Bulat Gainullin ◽  
Hua Fang Liu ◽  
David Robinson
2017 ◽  
Vol 261 (1) ◽  
pp. 97-107 ◽  
Author(s):  
Qiankai Qing ◽  
Tianhu Deng ◽  
Hongwei Wang

2008 ◽  
Vol 118 (531) ◽  
pp. 1196-1222 ◽  
Author(s):  
Chiara Fumagalli ◽  
Massimo Motta

2019 ◽  
Vol 11 (10) ◽  
pp. 2924
Author(s):  
Qiu Zhao

This paper aims to investigate the impact of buyer power on the wholesale price and retail price of, in the case, downstream competition. Based on a summary of the competitive characteristics of China’s retail market, a model of a vertical market was constructed to examine the influence of buyer power on the pricing decisions of manufacturers and retailers, and to analyze the mechanism of price decisions. The results showed that the buyer power of national retailers reduced the wholesale price, but the impact on local retailers remained uncertain. Although increasing buyer power initially increased the local retailer’s wholesale price and caused the ‘waterbed effect’, we found that this effect reverted when the buyer power reached a point at which the ‘anti-waterbed effect’ appeared. The opposite was true of the retail price. However, buyer power reduced the average retail price, and consumer welfare improved.


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