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Maintaining competition in recurrent procurement contracts : a case study on the London bus market

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Iossa, Elisabetta and Waterson, Michael (2019) Maintaining competition in recurrent procurement contracts : a case study on the London bus market. Transport Policy, 75 . pp. 141-149. doi:10.1016/j.tranpol.2017.02.012 ISSN 0967-070X.

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Official URL: http://dx.doi.org/10.1016/j.tranpol.2017.02.012

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Abstract

Under recurrent procurement, the awarding of a contract to a firm may put it in an advantageous position in future tenders, which may reduce competition over time. The objective of this paper is to study the dynamics of competition for tendered contracts, focusing on factors that may generate incumbent advantage. Particular attention is given to learning economies, sunk costs of entry and switching costs for the procurer. The paper then applies these insights to analyse empirically the evolution of competition in the market for local bus services in London.

Item Type: Journal Article
Subjects: H Social Sciences > HE Transportation and Communications
Divisions: Faculty of Social Sciences > Economics
Library of Congress Subject Headings (LCSH): Bus lines -- Economic aspects -- Case studies -- London, Letting of contracts, Competition
Journal or Publication Title: Transport Policy
Publisher: Elsevier
ISSN: 0967-070X
Official Date: March 2019
Dates:
DateEvent
March 2019Published
24 March 2017Available
16 February 2017Accepted
Volume: 75
Page Range: pp. 141-149
DOI: 10.1016/j.tranpol.2017.02.012
Status: Peer Reviewed
Publication Status: Published
Access rights to Published version: Restricted or Subscription Access
Date of first compliant deposit: 9 January 2018
Date of first compliant Open Access: 27 September 2018
RIOXX Funder/Project Grant:
Project/Grant IDRIOXX Funder NameFunder ID
UNSPECIFIEDUniversità Bocconihttp://dx.doi.org/10.13039/501100006375
UNSPECIFIEDUniversity of Warwickhttp://dx.doi.org/10.13039/501100000741

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