Iwasa, Kazumichi and Kikuchi, Toru (2007): Strategic Divisionalization, Product Differentiation and International Competition.
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In this note we construct a simple international differentiated duopoly model that involves a divisionalization decision. It will be shown that the number of third market divisions of a parent firm with a cost advantage is relatively large. The results imply that the cost competitiveness of one country’s firm will be magnified through divisionalization decisions.
|Item Type:||MPRA Paper|
|Original Title:||Strategic Divisionalization, Product Differentiation and International Competition|
|Keywords:||divisionalization; product differentiation; cost competitiveness|
|Subjects:||F - International Economics > F1 - Trade > F12 - Models of Trade with Imperfect Competition and Scale Economies ; Fragmentation|
|Depositing User:||Toru Kikuchi|
|Date Deposited:||01 Nov 2007|
|Last Modified:||04 Feb 2016 13:48|
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