Please use this identifier to cite or link to this item: http://hdl.handle.net/10419/94042
Authors: 
Hakenes, Hendrik
Peitz, Martin
Year of Publication: 
2006
Series/Report no.: 
SFB/TR 15 Discussion Paper 131
Abstract: 
Is the reputation of a firm tradable when the change in ownership is observable? We consider a competitive market in which a share of owners must retire in each period. New owners bid for the firms that are for sale. Customers learn the owner's type, which reflects the quality of the good or service provided, through experience. After observing an ownership change they may want to switch firm. However, in equilibrium, good new owners buy from good old owners and retain high-value customers. Hence reputation is a tradable intangible asset, although ownership change is observable.
Subjects: 
Reputation
ownership change
intangible assets
theory of the firm
JEL: 
D40
D82
L14
L15
Persistent Identifier of the first edition: 
Document Type: 
Working Paper

Files in This Item:
File
Size





Items in EconStor are protected by copyright, with all rights reserved, unless otherwise indicated.