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Wenjiao Che and Toshiki Kodera
''Product differentiation and advertising in multiple markets''
( 2014, Vol. 34 No.1 )
We study a Hotelling location game where media platforms compete with the same content in two separate markets. The findings show that media platforms may provide less differentiated content if the non-negativity constraint on prices is binding in at least one market. Moreover, content differentiation is decreasing in the size of market where the constraint is binding.
Keywords: Two-sided markets, Multiple markets, Product differentiation
JEL: L1 - Market Structure, Firm Strategy, and Market Performance: General
L8 - Industry Studies: Services: General
Manuscript Received : May 20 2013 Manuscript Accepted : Feb 28 2014

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