Economics at your fingertips  

Co-operation in R&D, efficiency and European policy

Alexis Jacquemin and Luc Soete

European Review, 1994, vol. 2, issue 1, 65-72

Abstract: In this paper, the role of co-operative agreements in R&D, as a strategic option for firms confronted with the globalization of markets and the multiplication of sources of new technology is examined within the European context. It is argued that a plausible case can be made for co-operative R&D ventures, especially where positive and large technological spillovers exist, when the fixed component of technology-development cost is high and the hedging of risk is an important incentive, and when participating firms produce complementary products. The empirical evidence of a significant multiplication of R&D partnerships in Europe illustrates, from this perspective, the strategic option that firms were confronted with as competition ‘Europeanized’ and ‘globalized’ and technology changed rapidly and unpredictably. Co-operative agreements in R&D also create problems. One such problem is that the agreements could be a vehicle for reducing competition in the downstream product market and for creating barriers to entry. From that point of view, existing EC regulations seems well adapted, but this leaves open the question of conflicts between differing competition policies at the world level. The growing web of international coalitions makes it increasingly difficult, if not impossible, to implement a European technology policy whose results are not accessible to companies and countries competing with Europe.

Date: 1994
References: Add references at CitEc
Citations: View citations in EconPapers (4) Track citations by RSS feed

Downloads: (external link) ... type/journal_article link to article abstract page (text/html)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link:

Access Statistics for this article

More articles in European Review from Cambridge University Press Cambridge University Press, UPH, Shaftesbury Road, Cambridge CB2 8BS UK.
Bibliographic data for series maintained by Keith Waters ().

Page updated 2021-10-16
Handle: RePEc:cup:eurrev:v:2:y:1994:i:01:p:65-72_00