Original scientific paper

SPATIAL MAINTENANCE GOODS UNDER MONOPOLY

Pu-yan Nie

Abstract

This study addresses the effects of monopolistic firms' location and guarantee time limit on pricing for
goods requiring high maintenance expenditure, such as elevators, televisions and computers. A spatial
maintenance model of two stages within a guaranteed time limit is outlined in this paper. Based on
this model, location, maintenance commitment and pricing are all characterized under a monopoly
situation. This paper outlines the optimal price and location for the monopolist. The effects of guarantee
time limit on price are discussed.

Keywords

Market structure; spatial maintenance commitment; guarantee time limit; game theory; monopoly

Hrčak ID:

77595

URI

https://hrcak.srce.hr/77595

Publication date:

1.12.2011.

Article data in other languages: croatian

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