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학술저널

Digital Convergence and Conglomerate Mergers

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We develop a formal model to deal with bundling in complementary markets. We develop the antitrust analysis of a merger between potentially complementary product producing firms when the merged firm might engage in bundling such as the proposed GE/Honeywell merger. Our model can be applied to the analysis of economic consequences of digital convergence. We show that the new multi-functional product as an outcome of digital convergence of two different products does not necessarily enhance competition in markets.

Abstract

1. Introduction

2. Model

3. Benchmark

4. Technological Integration

References

Appendix

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