Process and product innovation by a multiproduct monopolist: A dynamic approach

International Journal of Industrial Organization

Volumn 27, Issue 4, 2009, Pages 508-518

  Lambertini, Luca ^a,b   Mantovani, Andrea ^a  

^a UNIVERSITY OF BOLOGNA   (Italy)

^b UNIVERSITY OF AMSTERDAM   (Netherlands)

Author keywords

Complementarity; Process innovation; Product innovation

Indexed keywords

COMPLEMENTARITY; FORM OF PRODUCTS; IN-PROCESS; INITIAL CONDITIONS; INVESTMENT PLAN; MULTI-PRODUCT; OPTIMAL PATHS; PROCESS INNOVATION; PRODUCT DIFFERENTIATION; PRODUCT INNOVATION; PRODUCT PROLIFERATION; RESERVATION PRICE; STEADY STATE;

COMPUTATIONAL FLUID DYNAMICS;

INVESTMENTS;

EID: 67349195773     PISSN: 01677187     EISSN: None     Source Type: Journal    
DOI: 10.1016/j.ijindorg.2008.12.005     Document Type: Article

References (33)

1. Abernathy W.J., and Utterback J.M. A dynamic model of process and product innovation. Omega 3 6 (1975) 639-656
2. Abernathy W.J., and Utterback J.M. Patterns of industrial innovation. In: Tushman M.L., and Moore W.L. (Eds). Readings in the Management of Innovation (1982), Pitman, Boston 97-108
3. Adner R., and Levinthal D. Demand heterogeneity and technology evolution: implications for product and process innovation. Management Science 47 5 (2001) 611-628
4. Amir R. Continuous stochastic games of capital accumulation with convex transitions. Games and Economic Behavior 15 (1996) 111-131
5. Amir R. Cournot oligopoly and the theory of supermodular games. Games and Economic Behavior 15 (1996) 132-148
6. Arrow K. Applications of control theory to economic growth. In: Dantzig G.B., and Veinott Jr. A.F. (Eds). Mathematics of the Decision Sciences, Part 2, Providence, American Mathematical Society (1968)
7. Athey S., and Schmutzler A. Product and process flexibility in an innovative environment. RAND Journal of Economics 26 (1995) 557-574
8. Bhattacharya S., and Mookherjee D. Portfolio choice in research and development. RAND Journal of Economics 17 (1986) 594-605
9. Bonanno G., and Haworth B. Intensity of competition and the choice between product and process innovation. International Journal of Industrial Organization 16 (1998) 495-510
10. Cellini R., and Lambertini L. A differential game approach to investment in product differentiation. Journal of Economic Dynamics and Control 27 (2002) 51-62
11. Cellini R., and Lambertini L. Private and social incentives towards investment in product differentiation. International Game Theory Review 6 (2004) 493-508
12. Curtat L.O. Markov equilibria of stochastic games with complementarities. Games and Economic Behavior 15 (1996) 177-199
13. Dasgupta P., and Maskin E. The simple economics of research portfolios. Economic Journal 97 (1987) 581-595
14. Doraszelski U. Innovations, improvements, and the optimal adoption of new technologies. Journal of Economic Dynamics and Control 28 (2004) 1461-1480
15. Harrington J.E. Experimentation and learning in a differentiated products duopoly. Journal of Economic Theory 77 (1995) 181-191
16. Imai K. The japanese pattern of innovation and its evolution. In: Rosenberg N., Laudan R., and Mowery D. (Eds). Technology and the Wealth of Nations (1992), Stanford University Press, Stanford
17. Klepper S. Entry, exit and innovation over the product life cycle. American Economic Review 86 (1996) 562-583
18. Lambertini L. The monopolist's optimal R&D portfolio. Oxford Economic Papers 55 (2003) 561-578
19. Lambertini L. Process and product R&D by a multiproduct monopolist: a reply to Lin. Oxford Economic Papers 56 (2004) 745-749
20. Lambertini L., and Orsini R. Process and product innovation in a vertically differentiated monopoly. Economics Letters 68 (2000) 333-337
21. Lambertini L., and Rossini G. Product homogeneity as a prisoner's dilemma in a duopoly with R&D. Economics Letters 58 (1998) 297-301
22. Lambertini L., Poddar S., and Sasaki D. Standardization and the stability of collusion. Economics Letters 58 (1998) 303-310
23. Lin P. Process and product R&D by a multiproduct monopolist. Oxford Economic Papers 56 (2004) 735-743
24. Lin P., and Saggi K. Product differentiation, process R&D, and the nature of market competition. European Economic Review 46 (2002) 201-211
25. Mangasarian O.L. Sufficient conditions for the optimal control of nonlinear systems. SIAM Journal of Control 4 (1966) 139-152
26. Mantovani A. Complementarity between product and process innovation in a monopoly setting. Economics of Innovation and New Technology 15 (2006) 219-234
27. Milgrom P., and Roberts J. Rationalizability, learning, and equilibrium in games with strategic complementarities. Econometrica 58 (1990) 1255-1278
28. Pine B.J., Victor B., and Boyton A.C. Making mass customization work. Harvard Business Review 71 (1993) 108-119
29. Rosenkranz S. Simultaneous choice of process and product innovation. Journal of Economic Behavior and Organization 50 (2003) 183-201
30. Singh N., and Vives X. Price and quantity competition in a differentiated duopoly. RAND Journal of Economics 15 (1984) 546-554
31. Spence M. Product differentiation and welfare. American Economic Review 66 (1976) 407-414
32. Stalford H., and Leitmann G. Sufficiency conditions for nash equilibria in N-person differential games. In: Blaquiere A. (Ed). Topics in Differential Games (1973), Elsevier, Amsterdam
33. Vives X. Nash equilibrium with strategic complementarities. Journal of Mathematical Economics 19 (1990) 305-321