Spatial Competition with Entry Deterrence considering Horizontal Product Differentiations
Spatial competition plays important roles in economics, which attracts extensive research. This paper addresses spatial competitions along with horizontal product differentiations and entry deterrence. By the dynamic game theory model about one firm and a potential entrant with different cost in a l...
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| Format: | Article |
| Language: | English |
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Wiley
2013-01-01
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| Series: | Journal of Applied Mathematics |
| Online Access: | http://dx.doi.org/10.1155/2013/426345 |
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| _version_ | 1832558498646327296 |
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| author | Ai-nong Zhou |
| author_facet | Ai-nong Zhou |
| author_sort | Ai-nong Zhou |
| collection | DOAJ |
| description | Spatial competition plays important roles in economics, which attracts extensive research. This paper addresses spatial competitions along with horizontal product differentiations and entry deterrence. By the dynamic game theory model about one firm and a potential entrant with different cost in a linear city, this paper finds that both the higher fixed setup cost and the higher transportation cost deter entrants. To efficiently deter the entrants, the establisher is inclined to locating at the middle point of the linear city. |
| format | Article |
| id | doaj-art-0f786c47dd68491d836e3d1a84a419e0 |
| institution | Kabale University |
| issn | 1110-757X 1687-0042 |
| language | English |
| publishDate | 2013-01-01 |
| publisher | Wiley |
| record_format | Article |
| series | Journal of Applied Mathematics |
| spelling | doaj-art-0f786c47dd68491d836e3d1a84a419e02025-02-03T01:32:11ZengWileyJournal of Applied Mathematics1110-757X1687-00422013-01-01201310.1155/2013/426345426345Spatial Competition with Entry Deterrence considering Horizontal Product DifferentiationsAi-nong Zhou0Department of Economic Management, Guangzhou Institute of Railway Technology, Guangzhou 510430, ChinaSpatial competition plays important roles in economics, which attracts extensive research. This paper addresses spatial competitions along with horizontal product differentiations and entry deterrence. By the dynamic game theory model about one firm and a potential entrant with different cost in a linear city, this paper finds that both the higher fixed setup cost and the higher transportation cost deter entrants. To efficiently deter the entrants, the establisher is inclined to locating at the middle point of the linear city.http://dx.doi.org/10.1155/2013/426345 |
| spellingShingle | Ai-nong Zhou Spatial Competition with Entry Deterrence considering Horizontal Product Differentiations Journal of Applied Mathematics |
| title | Spatial Competition with Entry Deterrence considering Horizontal Product Differentiations |
| title_full | Spatial Competition with Entry Deterrence considering Horizontal Product Differentiations |
| title_fullStr | Spatial Competition with Entry Deterrence considering Horizontal Product Differentiations |
| title_full_unstemmed | Spatial Competition with Entry Deterrence considering Horizontal Product Differentiations |
| title_short | Spatial Competition with Entry Deterrence considering Horizontal Product Differentiations |
| title_sort | spatial competition with entry deterrence considering horizontal product differentiations |
| url | http://dx.doi.org/10.1155/2013/426345 |
| work_keys_str_mv | AT ainongzhou spatialcompetitionwithentrydeterrenceconsideringhorizontalproductdifferentiations |