Tuesday, January 20, 2009
Posted by D. Daniel Sokol
Andreea Cosnita-Langlais (EconomiX, Université Paris Ouest-Nanterre la Défense (Paris X)) gives some thought to Horizontal market concentration: Theoretical Insights From the Spatial Models.
ABSTRACT: This paper aims to further advance the study of horizontal mergers by critically reviewing the theory on spatial models that may be used for the analysis of horizontal market concentration. We examine the incentives conveyed by locations for undertaking merger and merger-related strategies, as well as the impact of merger on strategic location choices. Thereby this paper highlights the two-way relationship between market concentration behavior and firm location.