Welfare implications of user innovation

Journal of Technology Transfer

Volumn 30, Issue 1-2, 2004, Pages 73-87

  Henkel, Joachim ^a   Hippel, Eric Von ^b  

^a TECHNICAL UNIVERSITY OF MUNICH   (Germany)

^b MASSACHUSETTS INSTITUTE OF TECHNOLOGY   (United States)

Author keywords

Inefficiencies; Product diversity; Social welfare; User innovation

Indexed keywords

INEFFICIENCIES; INNOVATIVE ACTIVITIES; PRODUCT DIVERSITY; SOCIAL WELFARE; USER INNOVATION; WELFARE IMPLICATIONS;

TECHNOLOGY TRANSFER;

EID: 37849185652     PISSN: 08929912     EISSN: 15737047     Source Type: Journal    
DOI: 10.1007/s10961-004-4359-6     Document Type: Article

References (71)

1. Achilladelis, B., A.B. Robertson, and P. Jervis, 1971, Project SAPPHO: A Study of Success and Failure in Industrial In-novatio, 2 vols, London: Centre for the Study of Industrial Innovation.
2. Aghion, P. and P. Howitt, 1992, 'A Model of Growth through Creative Destruction,' Econometrica 60, 323-351.
3. Allen, R.C., 1983, 'Collective Invention,' Journal of Economic Behavior and Organization 4 (1), 1-24.
4. Anderson, S.P., A. de Palma, and J.F. Thisse, 1988, 'A Rep-resentative Consumer Theory of the Logit Model,' Interna-tional Economic Review 29, 461-466.
5. Arrow, K.J., 1962, 'Economic Welfare and the Allocation of Resources for Invention,' in: Richard Nelson (ed.), The Rate and Direction of Inventive Activity, Princeton, NJ: Princeton University Press.
6. Balachandra, R. and J. H. Friar, 1997, 'Factors for Success in R&D Projects and New Product Introduction: A Contex-tual Framework,' IEEE Transactions on Engineering Man-agement 44 (3), 276-287.
7. Baumol, W., J. Panzar, and R. Willig, 1982, Contestable Mar-kets and the Theory of Industry Structure, New York: Har-court Brace Jovanovich.
8. Benkler, Y., 2002, 'Intellectual Property and the Organization of Information Production,' International Review of Law and Economics 22 (1), 81-107.
9. Bessen, J. and E. Maskin, 2002, 'Sequential Innovation, Pat-ents, and Imitation,' MIT Dpt.of Economics Working Paper, revised version.
10. Boldrin, M. and D. Levine, 2002, 'The Case against Intellec-tual Property,' AEA Papers and Proceedings, May, pp. 209-212.
11. Bresnahan, T.F. and S. Greenstein, 1996a, 'Technical Progress and Co-invention in Computing and in the Uses of Com-puters,' Brookings Papers on Economic Activity.Microeco-nomics, 1996, pp.1-77.
12. Bresnahan, T.F. and S. Greenstein, 1996b, 'The Competitive Crash in Large-scale Commercial Computing,' in R. Lan-dau, T. Taylor, and G. Wright (eds.), The Mosaic of Eco-nomic Growth, Stanford: Stanford University Press, pp. 357-397.
13. Bresnahan, T.F. and G. Saloner, 1997, 'Large rms' demand for computer products and services: Competing market models, inertia, and enabling strategic change,' in D.B. Yoffe (ed.), Competing in the age of digital con-vergence, Cambridge, MA: Harvard Business School Press.
14. Chamberlin, E.H., 1950, 'Product Heterogeneity and Public Policy,' American Economic Review 40 (2), 85-92, Papers and Proceedings.
15. Dixit, A.K. and J.E. Stiglitz, 1977, 'Monopolistic Competition and Optimum Product Diversity,' American Economic Review 67 (3), 297-308.
16. Eaton, B.C. and R.G. Lipsey, 1989, 'Product Differentiation,' in R. Schmalensee and R. D. Willig (eds.), Handbook of Industrial Organization, Vol.1, Elsevier Science Publishers, pp.723-768 (Chapter 12).
17. Eaton, B.C. and N. Schmitt, 1994, 'Flexible Manufacturing and Market Structure,' American Economic Review 84 (4), 875-888.
18. Elrod, T. and A. P. Kelman, 1987, 'Reliability of New Product Evaluation as of 1968 and 1981,' Working Paper, Owen Graduate School of Management, Vanderbilt University.
19. Enos, J.L., 1962, Petroleum Progress and Profits: A History of Process Innovation. Cambridge, MA: MIT Press.
20. Franke, N. and S. Shah, 2003, 'How Communities Support Innovative Activities: An Exploration of Assistance and Sharing Among End-Users,' Research Policy 32 (1), 157-178.
21. Franke, N. and E. von Hippel, 2003, 'Satisfying Heterogeneous User Needs via Innovation Toolkits: The Case of Apache Security Software,' Research Policy 32 (7), 1199-1215.
22. Gallini, N.T., 2002, 'The Economics of Patents: Lessons from Recent U. S. Patent Reform,' Journal of Economic Perspec-tives 16 (2), 131-154.
23. Gallini, N.T. and S. Scotchmer, 2002, 'Intellectual Property: When is it the best incentive system?,' in A. Jaffe, J. Lern-er, and S. Stern (eds.), Innovation Policy and the Economy, Vol.2, Cambridge, MA: MIT Press.
24. Grossman, G. and E. Helpman, 1991, Innovation and Growth in the Global Economy, Cambridge, MA: MIT Press.
25. Harhoff, D., J. Henkel, and E. von Hippel, 2003, 'Pro ting from Voluntary Information Spillovers: How Users Benefit by Freely Revealing their Innovations,' Research Policy 32 (10), 1753-1769.
26. Hart, O.D., 1985, 'Monopolistic Competition in the Spirit of Chamberlin: Special Results,' Economic Journal 95, 889-908.
27. Henkel, J., 2003, 'Embedded Linux-Informal Collaborative Software Development by Commercial Firms,' in Proceed-ings of the 12th International Conference on Management of Technology (IAMOT2003), Nancy, France, May 2003.
28. Henkel, J. and S. Thies, 2003, 'Customization and Innovation-User Innovation Toolkits for Simulator Software,' in Proceedings of the 2003 Congress on Mass Customization and Personalization (MCPC 2003), Munich, Germany, October 2003.
29. Herstatt, C. and E. von Hippel, 1992, 'From Experience: Developing New Product Concepts Via the Lead User Method: A Case Study in a "Low Tech" Field,' Journal of Product Innovation Management 9, 213-221.
30. Hotelling, H., 1929, 'Stability in Competition,' Economic Journal 39, 41-57.
31. Jeppesen, L.B., 2002, 'The Implications of "User Toolkits" for Innovation,' Copenhagen Business School. www.cbs.dk/departments/ivs/wp/ wp02-09.pdf.
32. Jokisch, M., 2001, Open Source Software-Entwicklung - Eine Analyse des Geschäftsmodells der STATA Corp. Unpub-lished Master thesis, University of Munich.
33. Knight, K.E., 1963, A Study of Technological Innovation: The Evolution of Digital Computers. Unpublished Ph.D. dissertation, Pittsburgh, PA: Carnegie Institute of Tech-nology.
34. Lakhani, K.R. and B. Wolf, 2005, 'Why Hackers Do What They Do: Understanding Motivation and Effort in Free/ Open Source Software Projects,' in J. Feller, B. Fitzger-ald, S. Hissam, and K.R. Lakhani (eds.), Perspectives on Free and Open Source Software, Cambridge, MA: MIT Press.
35. Lancaster, K., 1975, 'Socially Optimal Product Differentia-tion,' American Economic Review 65 (4), 567-585.
36. Lerner, J. and J. Tirole, 2002, 'Some Simple Economics of Open Source,' Journal of Industrial Economics 50 (2), 197-234.
37. Lessig, L., 2001, The Future of Ideas: The Fate of the Com-mons in a Connected World, New York: Random House.
38. Lim, K., 2000, 'The Many Faces of Absorbtive Capacity: Spillovers of Copper Interconnect Technology for Semi-conductor Chips,' MIT Sloan School of Management Working Paper #4110.
39. Lüthje, C., 2003, 'Customers as Co-Inventors: An Empirical Analysis of the Antecedents of Customer-Driven Innova-tions in the Field of Medical Equipment,' in Proceedings from the 32th EMAC Conference 2003, Glasgow.
40. Lüthje, C., 2004, 'Characteristics of Innovating Users in a Consumer Goods Field: An Empirical Study of Sport-Related Product Consumers', Technovation, forthcoming.
41. Lüthje, C., C. Herstatt, and E. von Hippel, 2002, 'Patterns in the Development of Minor Innovations by Users:BRico-lage in Mountain Biking,' MIT Sloan School Working Paper #4377-02.
42. Mansfield, E., J. Rapoport, A. Romeo, E. Villani, S. Wagner, and F. Husic, 1977, The Production and Application of New Industrial Technology, New York: Norton.
43. Mansfield, E. and S. Wagner, 1975, 'Organizational and Stra-tegic Factors Associated With Probabilities of Success in Industrial R&D,' Journal of Business 48, 179-198.
44. Morrison, P., J. Roberts, and E. von Hippel, 2000, 'Determi-nants of User Innovation and Innovation Sharing in a Local Market,' Management Science 46, 1513-1527.
45. Nordhaus, W.D., 1969, Invention, Growth, and Welfare: A The-oretical Treatment of Technological Change, Cambridge, MA: MIT Press.
46. Nuvolari, A., 2004, 'Collective Invention During the British Industrial Revolution: The Case of the Cornish Pumping Engine,' Cambridge Journal of Economics 28 (3), 347-363.
47. Ogawa, S., 1997, 'Does Sticky Information Affect the Locus of Innovation?Evidence from the Japanese Convenience-store Industry,' Research Policy 26, 777-790.
48. Oi, W.Y., 1997, 'The Welfare Implications of Invention,' in Timothy F. Bresnahan (ed.), The Economics of New Goods, Chicago, IL: University of Chicago Press, pp.109-141.
49. Perloff, J.M. and S.C. Salop, 1985, 'Equilibrium with Product Differentiation,' Review of Economic Studies 52, 107-120.
50. Poolton, J. and I. Barclay, 1998, 'New Product Development From Past Research to Future Applications,' Industrial Marketing Management 27, 197-212.
51. Raymond, E.S., 1999, The Cathedral &the Bazaar: Musings on Linux and Open Source by an Accidental Revolutionary, Cambridge, MA: O 'Reilly.
52. Redmond, W.H., 1995, 'An Ecological Perspective on New Product Failure: The Effects of Competitive Overcrowding,' Journal of Product Innovation Management 12, 200-213.
53. Riggs, W. and E. von Hippel, 1994, 'Incentives to Innovate and the Sources of Innovation: The Case of Scienti c Instruments,' Research Policy 23 (4), 459-469.
54. Röller, L.-H. and M.H. Tombak, 1990, 'Strategic Choice of Flexible Manufacturing Technology and Welfare Implica-tions,' Journal of Industrial Economics 35, 417-431.
55. Romer, P.M., 1990, 'Endogenous Technological Change,' Journal of Political Economy 98, 71-102.
56. Rosenberg, N., 1976, Perspectives on Technology, Cambridge, MA: Cambridge University Press.
57. Rothwell, R., C. Freeman, A. Horsley, V.T.P. Jervis, A.B. Roberts, and J. Townsend, 1974, 'SAPPHO Updated-Project SAPPHO Phase II,' Research Policy 3, 258-91.
58. Saint-Paul, G., 2003, 'Growth Effects of Non-proprietary Innovation,' Journal of the European Economic Association 1 (2-3), 429-439.
59. Saloner, G. and W.E. Steinmueller, 1996, 'Demand for Com-puter Products and Services in Large European Organiza-tions,' Research paper 1370, Stanford Graduate School of Business.
60. Sattinger, M., 1984, 'Value of an Additional Firm in Monop-olistic Competition,' Review of Economic Studies 51, 321-332.
61. Schmidt, K.M. and M. Schnitzer, 2003, 'Public Subsidies for Open Source? Some Economic Policy Issues of the Soft-ware Market,' Harvard Journal of Law and Technology 16 (2), 473-505.
62. Schmookler, J., 1966, Invention and Economic Growth, Cam-bridge, MA: Harvard University Press.
63. Shah, S., 2000, 'Sources and Patterns of Innovation in a Con-sumer Products Field: Innovations in Sporting Equip-ment,' MIT Sloan School of Management Working paper #4105 (March).
64. Spence, M., 1976a, 'Product Differentiation and Welfare,' American Economic Review 66 (2), 407-414, Papers and Proceedings.
65. Spence, M., 1976b, 'Product Selection, Fixed Costs, and Monopolistic Competition,' Review of Economic Studies 43 (2), 217-235.
66. Tirole, J., 1988, Theory of Industrial Organization, Cambridge, MA: MIT Press.
67. Urban, G.L. and E. von Hippel, 1988, 'Lead User Analyses for the Development of New Industrial Products,' Man-agement Science 34, 569-582.
68. Varian, H.R., 2002, 'New Chips Can Keep a Tight Rein on Consumers,' New York Times, July 4, 2002.
69. von Hippel, E., 1986, 'Lead Users: A Source of Novel Prod-uct Concepts,' Management Science 32 (7), 791-805.
70. von Hippel, E., 1988, The Sources of Innovation, New York: Oxford University Press.
71. von Hippel, E., 1994, 'Sticky Information and the Locus of Problem Solving: Implications for Innovation,' Manage-ment Science 40 (4), 429-439.