Please use this identifier to cite or link to this item: https://hdl.handle.net/10419/260229 
Authors: 
Year of Publication: 
2017
Series/Report no.: 
Working Paper No. 2017:20
Publisher: 
Lund University, School of Economics and Management, Department of Economics, Lund
Abstract: 
This paper examines the effect of competition on a firm's choice of opening hours in the motor vehicle inspection market. Competition affects the incentive inspection firms face when choosing opening hours, which influences the probability that consumers find service time that best matches their preferred time. We use 2SLS analyses to resolve the potential endogeneity of market entry decisions. Using a detailed monthly firm-level panel data for all inspection firms in Sweden, we find that increased competition, measured using both the number of firms in a geographic market and average distance to nearby competitors, leads to expanded opening hours. The probability that inspection firms offer services on weekends also increases with local competition.
Subjects: 
opening hours
competition
non-price competition
entry
motor vehicle inspection market
JEL: 
D22
L11
L84
Document Type: 
Working Paper

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