Download This PaperInternet Use, Competition, and Geographical Rescoping in Yellow Pages Advertising
36 Pages Posted: 26 Dec 2017 Last revised: 9 Feb 2019
Date Written: January 10, 2019
Abstract
This paper examines the effect of Internet penetration on competition and prices in the market for Yellow Pages advertising. We find that the diffusion of the Internet is associated with a decrease in the number of competitors and average prices for printed advertisements in the long-run. However, the decrease in prices is moderated by increasing market concentration as firms exit and by geographic rescoping as remaining competitors repositioned their products.
Keywords: Internet, competition, product positioning, price dispersion, geographical targeting
JEL Classification: L81, L11
Suggested Citation: Suggested Citation
Chiou, Lesley and Kafali, E. Nilay and Rysman, Marc, Internet Use, Competition, and Geographical Rescoping in Yellow Pages Advertising (January 10, 2019). Available at SSRN: https://ssrn.com/abstract=3090635 or http://dx.doi.org/10.2139/ssrn.3090635
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