Title :
Study on operation mode for online advertisement based on competition and vertical integration
Author :
Lin, Hongwei ; Shao, Peiji
Author_Institution :
Sch. of Manage. & Econ., Univ. of Electron. Sci. & Technol. of China, Chengdu, China
Abstract :
This paper introduces Bertrand´s price game model and analyzes equilibrium prices for different online advertising market structure. The result shows that price of integrated complementary services is lower than non-integrated services. Among the market structure, vertical integration can achieve economies of scope and increase welfare. This is also benefit of parties for online advertising industry chain.
Keywords :
Internet; advertising; game theory; pricing; Bertrand price game model; competition; economies of scope; equilibrium prices; integrated complementary services; nonintegrated services; online advertisement; online advertising industry chain; online advertising market structure; operation mode; vertical integration; Advertising; Analytical models; Economics; Games; Industries; Internet; Publishing; Competition; Market structure; Online advertisement; Vertical integration;
Conference_Titel :
Artificial Intelligence, Management Science and Electronic Commerce (AIMSEC), 2011 2nd International Conference on
Conference_Location :
Deng Leng
Print_ISBN :
978-1-4577-0535-9
DOI :
10.1109/AIMSEC.2011.6010591
