2011年11月
Optimal pricing and quality choice of a monopolist under Knightian uncertainty
INTERNATIONAL JOURNAL OF INDUSTRIAL ORGANIZATION
- ,
- 巻
- 29
- 号
- 6
- 開始ページ
- 746
- 終了ページ
- 754
- 記述言語
- 英語
- 掲載種別
- 研究論文(学術雑誌)
- DOI
- 10.1016/j.ijindorg.2011.04.002
- 出版者・発行元
- ELSEVIER SCIENCE BV
This paper analyzes a simple vertical product differentiation model with demand uncertainty and derives a risk neutral monopolist's optimal market entry timing, her optimal pricing and optimal quality choice by incorporating Knightian uncertainty, irreversibility, and flexibility in quality-enhancing investment into a continuous-time stochastic model. It is shown that an increase in Knightian uncertainty induces decreases in the optimal price, the optimal quality, and the value of undertaking the quality-enhancing investment by the monopolist. The social optimal entry timing, pricing and quality are also analyzed. (C) 2011 Elsevier B.V. All rights reserved.
- リンク情報
- ID情報
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- DOI : 10.1016/j.ijindorg.2011.04.002
- ISSN : 0167-7187
- Web of Science ID : WOS:000297431500010