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Arve, Malin (30. October 2013): Procurement and Predation: Dynamic Sourcing from Financially Constrained Suppliers. SFB/TR 15 Discussion Paper No. 441 [PDF, 294kB]


This paper studies the interaction between financially constrained and financially strong firms on a procurement market. It characterizes and discusses a procurement agency’s optimal response when faced with financially asymmetric firms. By considering a dynamic setting, both present and future consequences and incentives are taken into account.

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