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In equilibrium, the high\u2010quality platform sells at a higher price and captures a greater market share than the low\u2010quality platform, despite the indifferent consumer being closer to the high\u2010quality platform. The difference between market shares is lower than socially optimal. A perturbation that introduces a negligible difference between the consumer density on the left and on the right side of the city may disrupt existence of equilibrium in the model of Armstrong (2006).<\/jats:p>","DOI":"10.1111\/boer.12084","type":"journal-article","created":{"date-parts":[[2016,5,21]],"date-time":"2016-05-21T13:12:39Z","timestamp":1463836359000},"page":"133-145","source":"Crossref","is-referenced-by-count":10,"title":["NESTING VERTICAL AND HORIZONTAL DIFFERENTIATION IN TWO\u2010SIDED MARKETS"],"prefix":"10.1111","volume":"68","author":[{"given":"Vitor Miguel","family":"Ribeiro","sequence":"first","affiliation":[{"name":"CEF.UP and Faculdade de Economia Universidade do Porto"}]},{"given":"Jo\u00e3o","family":"Correia\u2010da\u2010Silva","sequence":"additional","affiliation":[{"name":"CEF.UP and Faculdade de Economia Universidade do Porto"},{"name":"Toulouse School of Economics  France"}]},{"given":"Joana","family":"Resende","sequence":"additional","affiliation":[{"name":"CEF.UP and Faculdade de Economia Universidade do Porto"}]}],"member":"311","published-online":{"date-parts":[[2016,5,16]]},"reference":[{"key":"e_1_2_12_2_1","doi-asserted-by":"publisher","DOI":"10.1111\/jpet.12081"},{"key":"e_1_2_12_3_1","doi-asserted-by":"publisher","DOI":"10.1111\/j.1756-2171.2008.00037.x"},{"key":"e_1_2_12_4_1","doi-asserted-by":"publisher","DOI":"10.1111\/j.1756-2171.2006.tb00037.x"},{"key":"e_1_2_12_5_1","doi-asserted-by":"publisher","DOI":"10.1016\/j.jmateco.2013.09.002"},{"key":"e_1_2_12_6_1","doi-asserted-by":"publisher","DOI":"10.1016\/j.geb.2006.03.001"},{"key":"e_1_2_12_7_1","doi-asserted-by":"publisher","DOI":"10.1111\/j.1756-2171.2008.00008.x"},{"key":"e_1_2_12_8_1","doi-asserted-by":"publisher","DOI":"10.1016\/0166-0462(93)90005-Y"},{"key":"e_1_2_12_9_1","doi-asserted-by":"publisher","DOI":"10.1016\/j.regsciurbeco.2011.10.004"},{"key":"e_1_2_12_10_1","doi-asserted-by":"publisher","DOI":"10.1016\/j.infoecopol.2010.08.002"},{"key":"e_1_2_12_11_1","first-page":"51","article-title":"Optimal contracts with lock\u2010in","volume":"79","author":"Farrell J.","year":"1989","journal-title":"American Economic Review"},{"key":"e_1_2_12_12_1","doi-asserted-by":"publisher","DOI":"10.2307\/2224214"},{"key":"e_1_2_12_13_1","doi-asserted-by":"publisher","DOI":"10.1006\/jeth.1997.2348"},{"key":"e_1_2_12_14_1","first-page":"424","article-title":"Network externalities, competition, and compatibility","volume":"75","author":"Katz M. 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