Market Entry

Cheap Pearls (2/16/2001)

Far from increasing consumer surplus, falling prices for luxury goods such as freshwater pearls due to overproduction reduce both consumer surplus and producer profit.

Keywords: cartel, De Beers, diamonds, fresh water pearls, luxury appeal, monopoly, paradox of plenty, prices, scarcity, Shanxiahu, snob appeal, snob effect, tragedy of the commons

Commission Rush (5/9/2006)

Excessive entry of residential real-estate brokers has resulted in lowering the median income of brokers rather than the commission rate.

Keywords: commission, competition, excessive entry, median income, real-estate brokers, realtors, tragedy of the commons

Extreme Image Makeover (6/22/2006)

The successful emergence of once-slighted digital cameras has reshuffled the cast of major players in the photography business.

Keywords: competition, complementary goods, digital cameras, disruptive technology, film cameras, flash memory, Fuji, Kodak, Konica Minolta, photography, product category, product differentiation, Sony

Genericization as a Market Maker (1/14/2006)

The creation of a new market typically involves the simultaneous development of interlocking parts. Sacrificing the short-term gain for at least one part is often necessary to overcome initial supplier or buyer inertia.

Keywords: Apple, critical mass, Dell, genericization, IBM, Mac, Microsoft, open system, PC, proprietary system, standardized parts, two-sided market

Just-in-time Labor Division (1/14/2006)

Low cost contract manufacturing, online coordination among far-flung service providers and Internet viral promotion have propelled many startups into overnight empires.

Keywords: cheap labor, competition, consumer surplus, contract manufacturing, global labor division, instant company, Internet publicity, just in time, just-in-time, Keen, Kidrobot, outsourcing, promotion, shoe, start up, startup, toy

Market Entry (7/7/2006)

Barriers to market entry result in different market structure.

Keywords: barrier, capacity, capital, De Soto, durable goods, excessive entry, financing, innovative products, kickbacks, Market entry, market structure, mature products, patent, product cycle, profit, replacement purchases, tragedy of the commons, underground economy, World Bank

Patently Deadly (3/7/2002)

Granting patents to biotechnology discoveries encourages inventions but could delay the introduction of competing products.

Keywords: Abbott, barrier of entry, Bio-Rad, blood transfusion, HIV test, HIV-1, HIV-2, infection, license, NIH, patents, property right

The Patent Fence (2/26/2005)

Most business process patents serve only to slow down business progress without encouraging more inventions.

Keywords: Amazon.com, business process, copyright, innovation, open-source, patent