Two-production-period in a duopoly with nonprofit and for-profit firms

We investigate endogenous roles in a competition between a nonprofit firm and a for-profit firm in a homogeneous goods market, by allowing two production periods. We find that the Cournot-type equilibrium and one Stackelberg-type equilibrium where the nonprofit firm becomes the follower exist; however, another tackelberg-type equilibrium where the nonprofit firm becomes the leader does not exist.

ESEIG / Instituto Politécnico do Porto, Centro de Matemática da Universidade do Porto and the Programs POCTI and POCI by FCT and Ministério da Ciência, Tecnologia e do Ensino Superior