A BEJEAP Topics article.

Abstract

Copyright protection can be used to raise entry barriers by impairing the demand. When there is a complementary market in addition to the copyrighted goods market, the incumbent prefers stronger copyright protection than is needed to maximize the sales profit in the primary market. Although strong protection can reduce demand substitution by copies, it makes it more difficult for the entrant to reach a large audience and become established. In some cases, the entrant may choose to opt out of copyright protection.

Submitted: March 19, 2007 · Accepted: August 24, 2007 · Published: September 17, 2007

Recommended Citation

Kim, Jin-Hyuk (2007) "Strategic Use of Copyright Protection to Deter Entry," The B.E. Journal of Economic Analysis & Policy: Vol. 7 : Iss. 1 (Topics), Article 47.
Available at: http://www.bepress.com/bejeap/vol7/iss1/art47