Downstream vertical foreclosure and upstream innovation
Article Abstract:
A model is developed to study the correlation between downstream foreclosure and upstream research and development (R&D). The model considers dynamic economies of scale upstream in the form of up-front R&D spending. It is shown that exclusive supply contracts can be mutually beneficial to upstream and downstream firms. Upstream firms benefit by forcing rivals to shoulder the disadvantages of low scale production while downstream firms benefit from the favorable terms offered in the contracts.
Publication Name: Journal of Industrial Economics
Subject: Economics
ISSN: 0022-1821
Year: 1997
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The performance of US corporations, 1981-1994
Article Abstract:
US public companies are evaluated from 1981-1994 by profits. Information included in the study includes industry, effects of the company and focus of the company.
Publication Name: Journal of Industrial Economics
Subject: Economics
ISSN: 0022-1821
Year: 1999
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