In most models of entry deterrence, the incumbent engages in predatory practices that harm a potential entrant.

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In most models of entry deterrence, the incumbent engages in predatory practices that harm a potential entrant. Can these models be reversed so that the entrant engages in predatory practices? Why do you think incumbents are more likely to set predatory pricing than are entrants?

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Economics Of Strategy

ISBN: 9781119378761

7th Edition

Authors: David Besanko, David Dranove, Mark Shanley, Scott Schaefer

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