R&D Cooperation with Entry

Siddhartha Bandyopadhyay and Arijit Mukherjee

Discussion Papers from Department of Economics, University of Birmingham

Abstract: We show the effects of entry by a non-innovating firm on the innovating firms' incentive for undertaking cooperative R&D, highlighting the impliations of knowledge spillover. Entry by a non-innovating firm may either increase or decrease the incentive for cooperative R&D comparted to no entry, depending on the innovating and the non-innovating firms' gains from knowledge spillover. The entry deterrence motive, which has so far been ignored in the literature, plays an important role in determing R&D organisation in our analysis.

Keywords: Co-oerative R&D; Entry, Knowlege spillover (search for similar items in EconPapers)
JEL-codes: L1 L4 O3 (search for similar items in EconPapers)
Pages: 20 pages
Date: 2011-02
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (2)

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Journal Article: R&D Cooperation with Entry (2014)
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Persistent link: https://EconPapers.repec.org/RePEc:bir:birmec:11-07

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