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on Economics of Strategic Management |
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Issue of 2007‒06‒23
eight papers chosen by Joao Jose de Matos Ferreira University of the Beira Interior |
| By: | Michael Noel; Mark Schankerman |
| Abstract: | Strategic patenting is widely believed to raise the costs of innovating,especially in industries characterised by cumulative innovation. This paperstudies the effects of strategic patenting on R&D, patenting and marketvalue in the computer software industry. We focus on two key aspects:patent portfolio size which affects bargaining power in patent disputes, andthe fragmentation of patent rights (.patent thickets.) which increases thetransaction costs of enforcement. We develop a model that incorporates botheffects, together with R&D spillovers. Using panel data for the period 1980-99, we find evidence that both strategic patenting and R&D spilloversstrongly affect innovation and market value of software firms. |
| Keywords: | patents, anti-commons, patent thickets, R&D spillovers, marketvalue |
| JEL: | L43 L86 O31 O32 O33 O34 O38 |
| Date: | 2006–06 |
| URL: | http://d.repec.org/n?u=RePEc:cep:stieip:43&r=cse |
| By: | Marin, Dalia; Verdier, Thierry |
| Abstract: | This paper develops a theory which investigates how firms' choice of corporate organization is affecting firm performance and the nature of competition in international markets. We develop a model in which firms' organisational choices determine heterogeneity across firms in size and productivity in the same industry. We then incorporate these organisational choices in a Krugman cum Melitz and Ottaviano model of international trade. We show that the toughness of competition in a market depends on who - headquarters or middle managers - have power in firms. Furthermore, we propose two new margins of trade adjustments: the monitoring margin and the organizational margin. International trade may or may not lead to an increase in aggregate productivity of an industry depending on which of these margins dominate. Trade may trigger firms to opt for organizations which encourage the creation of new ideas and which are less well adapt to price and cost competition. |
| Keywords: | firm heterogeneity; international trade with endogenous firm organizations; productivity; theory of the firm; trade adjustment |
| JEL: | D23 F12 F14 L22 |
| Date: | 2007–06 |
| URL: | http://d.repec.org/n?u=RePEc:cpr:ceprdp:6342&r=cse |
| By: | Säve-Söderbergh, Jenny (Swedish Institute for Social Research, Stockholm University) |
| Abstract: | Men and women’s labor market outcomes differ along pay, promotion and competitiveness. This paper contributes by uncovering results in a related unexplored field using unique data on individual wage bargaining. We find striking gender differences. Women, like men, also bargain, but they submit lower wage bids and are offered lower wages than men. The adjusted gender wage gap is lower with posted-wage jobs than with individual bargaining, although less is ascribable to the term associated with discrimination. Both women and men use self-promoting, or competitive bargaining strategies, but women self-promote at lower levels. Employers reward self-promotion but the larger the self-promotion, the larger is the gender gap in bargaining success. Women therefore lack the incentives to self-promote, which helps to explain the gender disparities. |
| Keywords: | Individual Wage Bargaining; Competitiveness; Bargaining strategies; Self-promoting Bargaining Strategies; Gender Wage Gap; and Discrimination. |
| JEL: | J16 J31 M51 M52 |
| Date: | 2007–05–18 |
| URL: | http://d.repec.org/n?u=RePEc:hhs:sofiwp:2007_007&r=cse |
| By: | Gachino, Geoffrey (UNU-MERIT) |
| Abstract: | This paper undertakes a critical review of existing spillover analyses and proposes a unique analytical framework for examining technological spillovers in a manufacturing industry setting. The proposed framework overlaps three different literature strands; cluster and network dynamics, technological innovations; and spillover literature. It enables determination of the extent to which multinational presence in a host country stimulates spillover occurrence to local firms as well as their nature. Using this framework, the kind and the channels through which spillovers occur most can be equally determined - this is particularly relevant for policy intervention in a technically backward country. Lastly, it allows determination of factors and conditions under which spillovers from multinationals occur. |
| Keywords: | International Economic Relations, Technology Transfer, Learning, Network Dynamics, Capability Building, Technological Change, Multinational Enterprises |
| JEL: | O33 F23 D83 D85 O31 |
| Date: | 2007 |
| URL: | http://d.repec.org/n?u=RePEc:dgr:unumer:2007017&r=cse |
| By: | Rasyad A. Parinduri (Singapore Center for Applied and Policy Economics (SCAPE) Department of Economics, National University of Singapore); Yohanes E. Riyanto (Department of Economics, National University of Singapore) |
| Abstract: | We examine the effect of strategic sale—the sale of banks to strategic foreign investors—on banks’ performance. The Government of Indonesia implemented such a policy as a part of bank restructuring in the aftermath of the 1998 banking crisis. Using difference-in-difference models, we find that strategic sale leads to 12%-15% cost reduction. These results are robust to the use of other estimators such as difference-in-difference matching-estimators and stochastic-frontier analysis, to that of other performance measures such as return on assets and net interest margin, and also to that of different types of samples. These suggest that strategic sale could play an important role in restructuring troubled banks in developing countries. |
| Keywords: | banking crisis, recapitalized banks, the sale of assets, difference- in-difference models, matching estimator |
| JEL: | C21 C23 G21 G28 |
| Date: | 2007–05 |
| URL: | http://d.repec.org/n?u=RePEc:sca:scaewp:0709&r=cse |
| By: | BISMUT, Sophie |
| Abstract: | In recent years, the European telecommunications market has witnessed major developments, with rapid expansion in access to telecommunications networks and a surge in the number of available services and applications. While many factors have contributed to the transformation of the telecommunications industry, competition has played a key role in driving telecom players to invest in new technologies, to innovate and to offer new services. Increased competitive pressure is being felt across all market segments, even though significant differences remain across services and countries. Broadband roll-out has allowed operators to offer multiple-play services, thereby transforming traditional segment boundaries and competitive market structures. |
| Keywords: | competition; access; convergence; multiple-play; fixed telephony; mobile services; broadband; VoIP; MVNO. |
| JEL: | L51 L40 L50 L41 K23 L96 L33 L94 |
| Date: | 2006–12 |
| URL: | http://d.repec.org/n?u=RePEc:pra:mprapa:3567&r=cse |
| By: | Erik Stam (University of Cambridge, Max Planck Institute of Economics Jena, Research group on Entrepreneurship, Economic Growth and Public Policy); Kashifa Suddle (EIM Business and Policy Research); S. Jolanda A. Hessels (EIM Business and Policy Research); André van Stel (EIM Business and Policy Research, Erasmus University Rotterdam, Max Planck Institute of Economics, Research group on Entrepreneurship, Economic Growth and Public Policy) |
| Abstract: | This paper investigates whether the presence of ambitious entrepreneurs is a more important determinant of national economic growth than entrepreneurial activity in general. We use data from the Global Entrepreneurship Monitor to test the extent to which high growth ambitions of entrepreneurs affect GDP growth for a sample of 36 countries. Our results suggest that ambitious entrepreneurship contributes more strongly to macro-economic growth than entrepreneurial activity in general. We find a particularly strong effect of high-expectation entrepreneurship for transition countries. These results are interpreted in light of the ongoing debate about public policies designed to stimulate high growth start-ups. |
| Keywords: | entrepreneurial activity, high growth entrepreneurs, growth ambitions, high growth start-ups, public policy, economic growth |
| JEL: | L16 L21 M13 O11 O40 O57 |
| Date: | 2007–06–20 |
| URL: | http://d.repec.org/n?u=RePEc:jrp:jrpwrp:2007-019&r=cse |
| By: | Christos Koulovatianos; Carsten Schröder; Ulrich Schmidt |
| Abstract: | We study the impact of uncertainty on the strategies and dynamics of symmetric noncooperative games among players who exploit a non-excludable resource that reproducesunder uncertainty. We focus on a particular class of games that deliver a unique Nash equilibrium in linear-symmetric strategies of resource exploitation. We show that, for this class of games, the tragedy of the commons is always present. For various changes in the riskiness of the random primitives of the model we provide general characterizations of features of the model that explain links between the degree of riskiness and strategic exploitation decisions. Finally, we provide a specific example that demonstrates the usefulness of our general results and, within the specific example, we study cases where increases in risk amplify or mitigate the tragedy of the commons. |
| JEL: | C73 C72 C61 Q20 O13 D90 D43 |
| Date: | 2007–06 |
| URL: | http://d.repec.org/n?u=RePEc:vie:viennp:0703&r=cse |