Please use this identifier to cite or link to this item: https://hdl.handle.net/10419/198977 
Year of Publication: 
2019
Series/Report no.: 
CESifo Working Paper No. 7617
Publisher: 
Center for Economic Studies and ifo Institute (CESifo), Munich
Abstract: 
We set up a model to analyze the effects of mergers between sellers of complementary components where firms invest in compatibility and can engage in bundling. We consider the impact of merger on prices, investment and consumer surplus. We also analyse when the merged firm may have an incentive and ability to foreclose rivals.
Subjects: 
mergers
complementary goods
welfare effects
foreclosure
compatibility
JEL: 
L13
L41
Document Type: 
Working Paper
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