TY  - JOUR
A1  - Orland, Andreas
A1  - Selten, Reinhard
T1  - Buyer power in bilateral oligopolies with advance production: Experimental evidence
JF  - Applied surface science : a journal devoted to applied physics and chemistry of surfaces and interfaces
N2  - We conduct experiments based on the oligopoly model by Kreps and Scheinkman (1983) to assess the impact of demand side concentration on market outcomes. Both buyers and sellers in our markets are humans. The number of firms is fixed at three in all treatments. Only the number of buyers is varied and total demand is split equally among them. We observe that firms set lower prices in markets with only few buyers, namely one or two. Price dispersion is higher in markets with few buyers. Aggregate demand withholding decreases with the number of buyers. This results in lower profits for firms and higher profits for buyers in markets with few buyers. (C) 2015 Elsevier B.V. All rights reserved.
KW  - Buyer power
KW  - Demand structure
KW  - Oligopoly
KW  - Advance production
KW  - Laboratory experiment
Y1  - 2016
U6  - https://doi.org/10.1016/j.jebo.2015.11.016
SN  - 0167-2681
SN  - 1879-1751
VL  - 122
SP  - 31
EP  - 42
PB  - Elsevier
CY  - Amsterdam
ER  -