Schmutzler
Fakultäten » Wirtschaftswissenschaftliche Fakultät » Volkswirtschaftslehre, Institut für » Prof. Dr. Armin Schmutzler » Schmutzler
Completed research project
| Title / Titel | Endogenous Market Dominance | ||||
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| Abstract (PDF, 14 KB) | |||||
| Summary / Zusammenfassung | Market dominance has many sources. It can result exogenously from state intervention in the form of product market regulation or patents. Quite often, however, it is the endogenous outcome of market forces, as the emergence of (small groups of) dominant players in such diverse industries as food retailing, academic publishing and many new economy markets shows. Though these examples of endogenous dominance are important, there is no universal tendency for markets to display increasing dominance. In many markets, firms have to concede an initial lead to established competitors or market entrants. In view of these differences, it is natural to ask: Why does endogenous market dominance arise at all, and which conditions make its emergence more likely? The theoretical foundations for the work were laid by Athey and Schmutzler (2001) who use innovative methods from supermodular game theory to clarify under which circumstances endogenous dominance arises in dynamic investment games. The project extends this analysis using theory and laboratory experiments. | ||||
| Publications / Publikationen | Zava Aydemir and Armin Schmutzler, “Small Scale Entry vs. Acquisitions of Small Firms: Is Concentration Self-reinforcing?”, Journal of Economic Behavior and Organization, 65, 133-146, (2008)Akquisitionen, Eintritt und die Entwicklung der Marktkonzentration (with Zava Aydemir), in: W. Franz et al (eds.).: "Fusionen"; Mohr-Siebeck, Tübingen, 2002.Investment and Market Dominance (with Susan Athey), RAND Journal of Economics, 32, 1-26, 2001. | ||||
| Project leadership and contacts / Projektleitung und Kontakte |
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| Funding source(s) / Unterstützt durch |
Others Regular University Funds |
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| Duration of Project / Projektdauer | Jan 1998 to Dec 2006 |