Equilibrium Market and Pricing Structures in Virtual Platform Duopoly

Behringer, Stefan (2005): Equilibrium Market and Pricing Structures in Virtual Platform Duopoly.

Abstract

We investigate the equilibrium market sturcture in virtual platform duopoly (auctions or other market forms) that are prevalent in internet settings. We take full account of the complexity of network effects in such markets and determine optimal pricing strategies. We invstigate the welfare implications of such strategies, look at the impact of non-exclusive services and at what happens in large markets.

• Item Type: MPRA Paper
• Institution: Goethe Universität Frankfurt
• Language: English
• Keywords: Two-sided Markets; Duopoly Pricing
• Subjects: D - Microeconomics > D4 - Market Structure, Pricing, and Design > D44 - Auctions; L - Industrial Organization > L1 - Market Structure, Firm Strategy, and Market Performance > L14 - Transactional Relationships ; Contracts and Reputation ; Networks

References

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