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Barriers to Entry in Rail Passenger Services

Empirical Evidence for Tendering Procedures in Germany

published in: European Journal of Transport and Infrastructure Research, 11(1), 01/2011

In order to determine whether market entry barriers exist in this market, a dataset of 30 German tendering was analyzed. The data consists of comprehensive primary data provided directly by public transport authorities and operators. The empirical analysis shows that there are two main tendering conditions that clearly influence the number of bidders.