Publication: Size of RJVs and Degree of Cooperation in Product Development
Open/View Files
Date
2010
Published Version
Journal Title
Journal ISSN
Volume Title
Publisher
John F. Kennedy School of Government, Harvard University
The Harvard community has made this article openly available. Please share how this access benefits you.
Citation
Bourreau, Marc, Pinar Dogan, and Matthieu Manant. 2010. Size of RJVs and Degree of Cooperation in Product Development. HKS Faculty Research Working Paper Series RWP10-047, John F. Kennedy School of Government, Harvard University
Research Data
Abstract
In this paper we provide a model of Research Joint Venture (RJV), and study the incentives of competing firms to cooperate in product development. Firms that participate in the RJV decide on the product components for joint development, i.e., they decide on how much to cooperate. We consider three cases: (i) an RJV with an exogenous size and an endogenous scope, (ii) an RJV with an endogenous size and an exogenous scope, and (iii) an RJV with an endogenous size and scope. Using numerical simulations we show that, on average, there is a negative relationship between the size and the scope of the RJV in both cases (i) and (ii). In case (iii), we find a positive relationship between the equilibrium size and the equilibrium scope of the RJV. Furthermore, both the equilibrium size and scope of the RJV are increasing with the industry size.
Description
Other Available Sources
Keywords
MBG - Markets, Business, and Government, R&D Cooperation, RJV, Product Development
Terms of Use
This article is made available under the terms and conditions applicable to Other Posted Material (LAA), as set forth at Terms of Service