Arbeitspapier

Vertical organization, technology flows and R&D incentives: an exploratory analysis

Despite its importance, the impact of vertical organization on innovation incentives has not been investigated in depth. This paper develops a number of testable hypotheses and then provides a first exploratory empirical analysis, using cross-sectional industry-level data. Two simple stylized facts emerge from the empirical results. First, once a fragmented buyer industry is dependent on a relatively concentrated supply sector, the industry’s own R&D intensity is reduced substantially. Second, vertical technology flows appear to act as substitutes for an industry's own R&D if the receiving industry's concentration is relatively low. Both results are largely consistent with a number of case studies and with theoretical arguments discussed in the paper.

Language
Englisch

Bibliographic citation
Series: WZB Discussion Paper ; No. FS IV 98-2

Classification
Wirtschaft

Event
Geistige Schöpfung
(who)
Harhoff, Dietmar
Event
Veröffentlichung
(who)
Wissenschaftszentrum Berlin für Sozialforschung (WZB)
(where)
Berlin
(when)
1998

Handle
Last update
10.03.2025, 11:45 AM CET

Data provider

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Object type

  • Arbeitspapier

Associated

  • Harhoff, Dietmar
  • Wissenschaftszentrum Berlin für Sozialforschung (WZB)

Time of origin

  • 1998

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