Together with Petro Lisowsky (Boston University), Barbara Stage (WHU – Otto Beisheim School of Management), and Elisa Casi (Norwegian School of Economics), Maximilian Todtenhaupt has published a new working paper on digitalization, competition, and tax savings. The authors find that firms with digitalized business models significantly reduce their competitors' market share. Furthermore, the analysis reveals substantial tax savings associated with digitalization, primarily driven by increased utilization of tax havens. However, in contrast to existing assumptions, these tax savings do not significantly exacerbate competitive disparities.
Link to paper: https://papers.ssrn.com/sol3/papers.cfm?abstract_id=4741721
