A Note on 'All-Pay Auctions with Pre- and Post-Bidding Options'
Author | : Minbo Xu |
Publisher | : |
Total Pages | : 8 |
Release | : 2017 |
ISBN-10 | : OCLC:1305071695 |
ISBN-13 | : |
Rating | : 4/5 ( Downloads) |
Download or read book A Note on 'All-Pay Auctions with Pre- and Post-Bidding Options' written by Minbo Xu and published by . This book was released on 2017 with total page 8 pages. Available in PDF, EPUB and Kindle. Book excerpt: In a recent paper, Odegaard and Anderson (2014) consider a setting of two sales channels: a fixed list price store and an all-pay auction with a buy-price option. They did not address the concern on the coexistence of two channels. If a single firm operates dual channels, we show that the seller will be better off by shutting down the auction channel. When two firms run dual channels, we propose a Nash equilibrium of Bertrand competition in which the seller's expected net revenue is zero and the auctioneer's expected net revenue is always negative. While the seller is an incumbent, she can set a list price to enjoy positive expected net revenue and deter the auctioneer's entry.