Product diversity in a~vertical distribution channel under monopolistic competition
Matematičeskaâ teoriâ igr i eë priloženiâ, Tome 2 (2010) no. 2, pp. 3-41

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In Russia the chain-stores gained a considerable market power. In the paper we combine a Dixit–Stiglitz industry with a monopolistic retailer. The questions addressed are: Does the retailer always deteriorate welfare, prices and variety of goods? Which market structure is worse: Nash or Stackelberg behavior? What should be the public policy in this area?
Keywords: monopolistic competition, Dixit–Stiglitz model, retailer, Nash equilibrium, Stackelberg equilibrium, social welfare
Mots-clés : Pigouvian taxation.
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Igor A. Bykadorov; Sergey G. Kokovin; Evgenyi V. Zhelobodko. Product diversity in a~vertical distribution channel under monopolistic competition. Matematičeskaâ teoriâ igr i eë priloženiâ, Tome 2 (2010) no. 2, pp. 3-41. http://geodesic.mathdoc.fr/item/MGTA_2010_2_2_a0/