Izvorni znanstveni članak
https://doi.org/10.1080/1331677X.2019.1710234
Capacity sharing, product differentiation and welfare
Junlong Chen
Xiaomeng Wang
Zhaopeng Chu
orcid.org/0000-0002-9284-1602
Sažetak
This article constructs a duopoly market with product differentiation
and analyses profits, consumer surplus and social welfare
under three conditions: (a) two enterprises have sufficient capacity;
(b) one enterprise has insufficient capacity, and another
enterprise has excess capacity that is not shared; and (c) one
enterprise has insufficient capacity, and another enterprise has
excess capacity and engages in capacity sharing. Through comparison,
the implementation conditions for and effects of capacity
sharing and the role of product differentiation are revealed. The
results show that capacity sharing helps increase producer surplus
and social welfare. Capacity constraints reduce social welfare but
can be solved by capacity sharing. Capacity sharing can only be
realised when both enterprises are profitable, and the charge for
capacity sharing should not be too high or too low. Product differentiation
has impacts on output, profit, consumer surplus and
social welfare, and these impacts are restricted by the existence
of capacity constraints and capacity sharing.
Ključne riječi
Capacity sharing; product differentiation; welfare; duopoly; capacity constraints
Hrčak ID:
254359
URI
Datum izdavanja:
9.2.2021.
Posjeta: 414 *