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Partial cross ownership, exclusive contracting, and market entry

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  • Yang, Jianxia
  • Schmidbauer, Eric
  • Zhang, Lan

Abstract

We demonstrate that the anticompetitive effect of exclusive contracting on market entry can be completely nullified if the entrant is allowed to sell partial cross ownership to the incumbent, and compare this mechanism to others in the literature.

Suggested Citation

  • Yang, Jianxia & Schmidbauer, Eric & Zhang, Lan, 2023. "Partial cross ownership, exclusive contracting, and market entry," Economics Letters, Elsevier, vol. 226(C).
    • Handle: RePEc:eee:ecolet:v:226:y:2023:i:c:s0165176523000733
    DOI: 10.1016/j.econlet.2023.111048
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    References listed on IDEAS

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    More about this item

    Keywords

    Partial cross ownership; Exclusive contracts; Entry deterrence;
    All these keywords.

    JEL classification:

    • D43 - Microeconomics - - Market Structure, Pricing, and Design - - - Oligopoly and Other Forms of Market Imperfection
    • L41 - Industrial Organization - - Antitrust Issues and Policies - - - Monopolization; Horizontal Anticompetitive Practices

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