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VAPORWARE
- Issue Date
- 8월-2010
- Publisher
- WILEY
- Citation
- INTERNATIONAL ECONOMIC REVIEW, v.51, no.3, pp.653 - 669
- Indexed
- SSCI
AHCI
SCOPUS
- Journal Title
- INTERNATIONAL ECONOMIC REVIEW
- Volume
- 51
- Number
- 3
- Start Page
- 653
- End Page
- 669
- ISSN
- 0020-6598
- Abstract
- It is a widely adopted practice for firms to announce new products well in advance of actual market availability, especially in the computer industry. In this article, a firm makes pre-announcements on its product, which are "cheap talk." We develop a reputation model of "vaporware" where the product pre-announcement can partially convey information about the product's quality. We discuss its implications for social welfare.
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