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Erscheinungsjahr: 
2003
Schriftenreihe/Nr.: 
CESifo Working Paper No. 1047
Verlag: 
Center for Economic Studies and ifo Institute (CESifo), Munich
Zusammenfassung: 
A positive relationship between firm size and product diversification is a long-standing stylized fact. However, so far there is no appropriate theoretical model to explain the underlying forces of this observation. This paper analyzes an oligopoly model with asymmetric multiproduct frms, which is capable of addressing this issue. The model suggests that intangible assets of firms, which affect marginal costs or perceived quality of goods within a firm's product line, play a key role for the empirical regularity that larger firms are more diversified.
Schlagwörter: 
asymmetric equilibrium
diversification
firm size
intangible assets
multiproduct firms
Dokumentart: 
Working Paper
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