Card Set Information
Collective attempts between compteing firms to reduce competition.
Firms indirectly coordinate actions by signaling their intention to reduce output and maintain pricing above competitive levels.
Firms directly negotiate output, fixed pricing, and divide markets.
An entity that engages in output- and pricing-fixing, involving multiple competitors.
Laws that attempt to curtail anti-competitive business practices.
In game thoery, a type of game in which the outcome depends on two parties deciding whether to cooperate or to detent.
A theory that studies the interaction between two parties that compete and/or cooperaqte with eachother.
The percentage of total industry sales accounted for by the top four, eight, or twenty films.
A firm that has a dominant market share and sets "acceptable" prices and margins in the industry.
Capacity To Punish?
Suffiecient resources possessed by a price leader to deter and combat defection.
The overlap between two rivals' markets.
Firms engage the same rivals in multiple markets.
Multimarket firms respect their rival's spheres of influence in certain markets , and their rivals reciprocate, leading to tacit collusion.
The ability of a firm to expand in a competitor's market if the competitor attacksits original market.
Policy governing the rules of the game in competition in a country.
Laws designed to combat monopolies and cartels.
Collusive Price Setting?
Price setting by monopolists or collusion parties at a higher than competitive level.
An attempt to monopolize a market by setting prices below cost and intending to raise prices to cover losses in the long run after elimintaing rivals.
An exporter selling below cost abroad and planning to raise prices after eliminitaing local rivals.
The externt to which a given competitor posseses strategic endowments comparable, in terms of both type and amount, to those of the focal firm.
An initial set of actions to gain competitive advantage.
A set of actions in response to an attack.
The classic frontal attack with brute force.
A firm's attack on a focal arena important to a competitor but not the attacker's true target area.
To withdraw from a low-value maret to attract rivals to divert resources into it and then to capture a high-value market.
The strategy centers on leveraging local assets in areas where MNE's are weak.
This strategy centers around leveraging homegrown competencies abroad.
This strategy centers on cooperating throughjoint ventures with MNEs and sell-offs to MNE's.
This strategy centers on a firm engaging in rapid learning and expanding overseas.