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AA00260492-20150000-0039  
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Title
Title Relative profit maximization and the choice of strategic variables in duopoly  
Kana  
Romanization  
Other Title
Title  
Kana  
Romanization  
Creator
Name 佐藤, 敦紘  
Kana サトウ, アツヒロ  
Romanization Sato, Atsuhiro  
Affiliation 同志社大学経済学部  
Affiliation (Translated) Faculty of economics, Doshisha University  
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Name 田中, 靖人  
Kana タナカ, ヤスヒト  
Romanization Tanaka, Yasuhito  
Affiliation 同志社大学経済学部  
Affiliation (Translated) Faculty of economics, Doshisha University  
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Place
Tokyo  
Publisher
Name Keio Economic Society, Keio University  
Kana  
Romanization  
Date
Issued (from:yyyy) 2015  
Issued (to:yyyy)  
Created (yyyy-mm-dd)  
Updated (yyyy-mm-dd)  
Captured (yyyy-mm-dd)  
Physical description
 
Source Title
Name Keio economic studies  
Name (Translated)  
Volume 51  
Issue  
Year 2015  
Month  
Start page 39  
End page 49  
ISSN
00229709  
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Abstract
We study implications of the choice of strategic variables, price or quantity, by firms in a duopoly with differentiated goods in which each firm maximizes its relative profit. We consider general demand and cost functions, and show that the choice of strategic variables is irrelevant in the sense that the conditions of relative profit maximization for the firms are the same in all situations, and so any combination of strategy choice by the firms constitutes a sub-game perfect equilibrium in a two stage game such that in the first stage the firms choose their strategic variables and in the second stage they determine the values of their strategic variables. We define the relative profit of a firm as the ratio of its profit over the total profit. But, even if we define the relative profit of a firm as the difference between the profits of firms, we can show the same result.
 
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Keyword
relative profit maximization  

choice of strategic variables  

duopoly  
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Language
英語  
Type of resource
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Journal Article  
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Apr 20, 2016 13:56:27  
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Apr 20, 2016 13:56:27  
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/ Public / Faculty of Economics / Keio economic studies / 51 (2015)
 
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