Mysteriet med produktpaket och förmånsprogram
(2017) NEKH03 20171Department of Economics
- Abstract
- The Swedish competition authority’s report from 2013 about the competition on the Swedish financial markets shows that bundling could be a threat to the competition on the Swedish banking market. Bundling contributes to higher switching and search costs for the consumers, which diminishes the customer mobility on the market. Reduced customer mobility leads to less competition. The Swedish competition authority therefore suggests an investigation of the use of bundling on the Swedish banking market. This thesis aims to map out the use of bundling and a special form of bundling known as bundled loyalty discounts on the Swedish banking market. The purpose of this thesis is to study the intentions behind the use of bundling and bundled loyalty... (More)
- The Swedish competition authority’s report from 2013 about the competition on the Swedish financial markets shows that bundling could be a threat to the competition on the Swedish banking market. Bundling contributes to higher switching and search costs for the consumers, which diminishes the customer mobility on the market. Reduced customer mobility leads to less competition. The Swedish competition authority therefore suggests an investigation of the use of bundling on the Swedish banking market. This thesis aims to map out the use of bundling and a special form of bundling known as bundled loyalty discounts on the Swedish banking market. The purpose of this thesis is to study the intentions behind the use of bundling and bundled loyalty discounts among Swedish banks. The results of this thesis are based upon an empirical analysis of the use of bundling and bundled loyalty discounts by Swedish banks and a theoretical analysis based upon economic models and concepts about bundling. This study finds that the use of bundling and bundled loyalty discounts increase the switching costs for the consumers due to uncomparable and nontransparent bundles and loyalty programs. This thesis concludes that three of the four largest banks in Sweden also have incentives using bundling and bundled loyalty discounts in order to maintain a higher price and decrease the competition. (Less)
Please use this url to cite or link to this publication:
http://lup.lub.lu.se/student-papers/record/8911353
- author
- Helgesson, Anna LU and Masko Mägi, Lovisa LU
- supervisor
-
- Jerker Holm LU
- organization
- course
- NEKH03 20171
- year
- 2017
- type
- M2 - Bachelor Degree
- subject
- keywords
- bundling, Swedish banks, switching costs, lock-in effects, financial literacy
- language
- Swedish
- id
- 8911353
- date added to LUP
- 2017-07-10 15:16:26
- date last changed
- 2017-07-10 15:16:26
@misc{8911353,
abstract = {{The Swedish competition authority’s report from 2013 about the competition on the Swedish financial markets shows that bundling could be a threat to the competition on the Swedish banking market. Bundling contributes to higher switching and search costs for the consumers, which diminishes the customer mobility on the market. Reduced customer mobility leads to less competition. The Swedish competition authority therefore suggests an investigation of the use of bundling on the Swedish banking market. This thesis aims to map out the use of bundling and a special form of bundling known as bundled loyalty discounts on the Swedish banking market. The purpose of this thesis is to study the intentions behind the use of bundling and bundled loyalty discounts among Swedish banks. The results of this thesis are based upon an empirical analysis of the use of bundling and bundled loyalty discounts by Swedish banks and a theoretical analysis based upon economic models and concepts about bundling. This study finds that the use of bundling and bundled loyalty discounts increase the switching costs for the consumers due to uncomparable and nontransparent bundles and loyalty programs. This thesis concludes that three of the four largest banks in Sweden also have incentives using bundling and bundled loyalty discounts in order to maintain a higher price and decrease the competition.}},
author = {{Helgesson, Anna and Masko Mägi, Lovisa}},
language = {{swe}},
note = {{Student Paper}},
title = {{Mysteriet med produktpaket och förmånsprogram}},
year = {{2017}},
}