期刊名称：CORE Discussion Papers / Center for Operations Research and Econometrics (UCL), Louvain
出版年度：2009
卷号：1
出版社：Center for Operations Research and Econometrics (UCL), Louvain
摘要：In this paper, we present a model of endogenous vertical integration and horizontal differentiation. There
exists two output brands and two versions of the input. The only mean for output differentiation is the input
version used in output production. Firms may choose to vertically integrate to produce internally the
required input version at marginal cost, rather then to buy it at the market price, if that version is made
available. We show that vertical mergers increase the possibility that output goods are differentiated.
Moreover, this occurs when the cost to differentiate the input is high. On the other hand, vertical integration
is detrimental for brand variety if the cost to differentiate inputs is negligible.
