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Jürgen-Peter Kretschmer and Oliver Budzinski
''Advertised meeting-the-competition clauses: collusion instead of price discrimination''
( 2011, Vol. 31 No.4 )
Pricing strategies may include the advertising of meeting-the-competition clauses (MCCs). We show in a specific spatial model scenario with differently informed consumers that MCCs primarily serve as a device to facilitate collusion instead of allowing for price discrimination between these consumers.
Keywords: meeting-the-competition clauses, advertising, price discrimination, competition, collusion
JEL: M2 - Business Economics: General
M3 - Marketing and Advertising: General
Manuscript Received : Oct 04 2011 Manuscript Accepted : Nov 16 2011

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