Innovation, research joint ventures, and multiproduct competition a theoretical and empirical investigation

by Siebert, Ralph

Abstract (Summary)
In this study we theoretically and empirically analyze the interactions between multiproduct competition and three aspects of innovation: Research Joint Ventures with asymmetric firms, new product introduction, and innovation with multiproduct firms. We investigate the main mechanisms and effects that impact on market structure, behavior and performance by analyzing theoretical and estimating structural models.The thesis is structured as follows: Chapter 2 provides insights into how multiproduct competition may interact with innovation. We survey current theoretical and empirical results on the literature of innovation. In Chapter 3, we analyze the effect of multiproduct competition on the incentives of asymmetric firms to innovate and to form a Research Joint Venture. In Chapters 4 and 5 we concentrate on the interrelation between multiproduct competition and new product introduction. We present two theoretical models of vertical product differentiation and investigate the incentives for incumbent firms to introduce new products in different quality areas. Firms are allowed to keep or withdraw their original products from the market. In Chapter 6 we will focus on the link between multiproduct competition and innovation with multiproduct firms. Multiproduct firms behave differently in the product market compared to single product firms. Decisions for product innovation or output are taken at a centralized level, so that a multiproduct firm takes the effects on other products into account. We analyze the Dynamic Random Access Memory industry (DRAM chips are semiconductor chips) with respect to multiproduct firms and investigate the Spillover, Economies of Scale, and Learning by Doing effects, as well as firms' behaviour in the product market, and the dynamics over the product life cycle. In Chapter 7 we summarize the results, assess the new research findings in the context of contributions to current research, and provide suggestions for future research. Finally, in Chapter 8 we provide a description of the databases we used in our empirical studies. email:
This document abstract is also available in German.
Bibliographical Information:


School:Humboldt-Universität zu Berlin

School Location:Germany

Source Type:Master's Thesis

Keywords:Innovation Forschungsgemeinschaften Multiproduktwettbewerb Lerneffekte Research Joint Ventures Multiproduct Competition Vertical Product Differentiation Learning by Doing Semiconductor Industry. QP 210


Date of Publication:04/18/2000

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