Welfare Effects of Entry Into Markets with Switching Costs

New entry into markets in which consumers have costs of switching between competing firms' products may be socially detrimental.

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Bibliographic Details
Published in:The Journal of industrial economics 1988-12, Vol.37 (2), p.159-165
Main Author: Klemperer, Paul
Format: Article
Language:English
Subjects:
Capital costs
Consumer economics
Consumer prices
Cost efficiency
Cost of entry
Costs
Economic costs
Economic models
Economic theory
Effects
Incumbents
Marginal costs
Market entry
Production costs
Social costs
Social impact
Switching
Unit costs
Welfare
Welfare economics
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Description
Summary:New entry into markets in which consumers have costs of switching between competing firms' products may be socially detrimental.
ISSN:0022-1821
1467-6451
DOI:10.2307/2098562