Partial Vertical Integration, Ownership Structure, and Foreclosure

Levy, Nadav; Spiegel, Yossi; Gilo, David

doi:10.1257/mic.20160058

Cited by 39 publications

(32 citation statements)

References 46 publications

(59 reference statements)

Supporting

Mentioning

Contrasting

Order By: Relevance

“…The closest paper may beLevy et al (2018). Hence, the existence of vertical common ownership links doesn't obviously contradict horizontal effects of common ownership.www.annualreviews.org • Common Ownership…”

mentioning

confidence: 99%

Common-Ownership Concentration and Corporate Conduct

Schmalz

2018

Annu. Rev. Financ. Econ.

177

View full text Add to dashboard Cite

The question of whether and how partial common-ownership links between strategically interacting firms affect firm objectives and behavior has been the subject of theoretical inquiry for decades. Since then, the growth of intermediated asset management and consolidation in the asset management sector has led to more pronounced common-ownership links at the level at which corporate control is exercised. Recent empirical research has provided evidence consistent with the literature's prediction that common-ownership concentration (CoOCo) can affect product market outcomes. The resulting antitrust concerns have received worldwide attention. However, because CoOCo can change the objective function of a firm, the potential implications span all fields of economics that involve corporate conduct, including corporate governance, strategy, industrial organization, and financial economics. This article connects the papers establishing the theoretical foundations, reviews the empirical and legal literatures, and discusses challenges and opportunities for future research.

show abstract

mentioning

confidence: 99%

Common-Ownership Concentration and Corporate Conduct

Schmalz

2018

Annu. Rev. Financ. Econ.

177

View full text Add to dashboard Cite

show abstract

“…The impression of PVI on the SSC happens with an increase in investments on Kaizen implementation, enabling the supply chain to implement the technology. This becomes possible owing to the financial foreclosure borne by the company stakeholders (Gilo et al, 2014), thereby easing monetary expenditure. Reduction in fishing time of 20.94% and overall lead time reductions of 25.04% was found to be achievable through the implementation of Kaizens.…”

Section: Resultsmentioning

confidence: 99%

A simulation-based performance investigation of downstream operations in the Indian Surimi Supply Chain using environmental value stream mapping

Sultan

Routroy

Thakur

2021

Journal of Cleaner Production

View full text Add to dashboard Cite

“…With partial backward ownership, this customer effectively pays less because it gets part of the price back through the profit participation, which can increase the investment incentive. 7 See Flath (1989), Baumol and Ordover (1994), Spiegel (2013), Fiocco (2016, Levy et al (2018), Hunold and Stahl (2016) and Hunold (2020). 8 When producing general inputs, the supplier has the outside option of selling these in other markets.…”

Section: Related Literaturementioning

confidence: 99%

Supply Chain Innovations and Partial Ownership

Hunold

Shekhar

2021

Rev Ind Organ

View full text Add to dashboard Cite

When knowledge sharing is non-contractible, we show that competing downstream firms may prefer to help improve an inefficient alternative supply source than help to improve the technology of the efficient actual supplier—even if this is costless. A downstream firm can have incentives to decrease the efficiency of the actual supplier in order to improve its outside options. Non-controlling partial backward ownership can—through the participation of the downstream firm(s) in the upstream profits—align the incentives of the supplier and its competing customers. This improves industry performance while simultaneously benefiting consumers. Partial backward ownership has similar effects as strengthening a downstream firm’s bargaining power and making knowledge sharing contractible.

show abstract

Partial Vertical Integration, Ownership Structure, and Foreclosure

Cited by 39 publications

References 46 publications

Common-Ownership Concentration and Corporate Conduct

Common-Ownership Concentration and Corporate Conduct

A simulation-based performance investigation of downstream operations in the Indian Surimi Supply Chain using environmental value stream mapping

Supply Chain Innovations and Partial Ownership

Contact Info

Product

Resources

About