Anticompetitive Exclusive Contracts with Complementary Inputs: A Case of Horizontally Differentiated Products

　This study constructs a model of anticompetitive exclusive dealing in the presence of complementary inputs. Kitamura, Matsushima, and Sato （2018） analyze the situation where a downstream firm transforms multiple complementary inputs into final products. When complementary input suppliers have market power, the inefficient incumbent supplier can deter socially efficient entry by using exclusive contracts. This study applies the analysis from Kitamura, Matsushima, and Sato （2018） to examine a situation where the potential entrant produces horizontally differentiated products and demonstrates the feasibility of anticompetitive exclusive dealing.

論説 (Articles)