Spatial competition between shopping centers

• Type: Article in International Scientific Journal
• Date: 2014

Authors

António Brandão (Author) FEP; João Correia-da-Silva (Author) FEP; Joana Pinho (Author) FEP

Journal

Title: Journal of Mathematical Economics

Vol. 50

Pages: 234-250

ISSN: 0304-4068

Publisher: Elsevier

Indexing

ISI Web of Knowledge - 8 Citations

ISI Web of Science

Scopus - 10 Citations

Econlit

Scientific classification

FOS: Social sciences > Economics and Business

CORDIS: Social sciences > Economics

Other information

Authenticus ID: P-009-7AF

DOI: 10.1016/j.jmateco.2013.09.002

Abstract (EN): We study competition between two shopping centers that sell the same set of goods and are located at the extremes of a linear city, without restricting consumers to make all their purchases at a single place. In the case of competition between a shopping mall (set of independent single-product shops) and a department store (single multiproduct shop), we find that: if the number of goods is low, all consumers shop at a single place; if it is moderately high, some consumers travel to both shopping centers to buy each good where it is cheaper (a single good is cheaper at the shopping mall). The shops at the mall, taken together, obtain a lower profit than the department store. Nevertheless, two shopping malls should be expected to appear endogenously.

Language: English

Type (Professor's evaluation): Scientific

No. of pages: 17