nep-ind New Economics Papers
on Industrial Organization
Issue of 2016‒01‒29
four papers chosen by
Kwang Soo Cheong
Johns Hopkins University

  1. Digital Entrepreneurship Barriers and Drivers - The need for a specific measurement framework By Marc Bogdanowicz
  2. Leading R&D Investors for the Dynamics of Innovation Ecosystems By Mafini Dosso; Fernando Hervas; Antonio Vezzani
  3. Price-setting Behavior and Competition in Developing Countries: An Analysis of Retail Outlets in Lesotho By Mamello Nchake, Lawrence Edwards and Asha Sundaram
  4. Pricing behaviour of cooperatives and investor-owned dairies in a spatial market setting By Zavelberg, Yvonne; Storm, Hugo

  1. By: Marc Bogdanowicz (European Commission – JRC - IPTS)
    Abstract: This report explores the concept of Digital entrepreneurship and 18 current measurement frameworks that support the empirical analysis of entrepreneurship, its determinants, performance and impacts. The report points at the current strengths and weaknesses of the existing measurement frameworks to address the issues of Digital entrepreneurship, and indicates possible ways forward.
    Keywords: ICT, Innovation, ICT Innovation, Entrepreneurship, ICT Entrepreneurship, Digital entrepreneurship, Measurement framework
    JEL: D01 L26 M13 O32 O33
    Date: 2015–12
  2. By: Mafini Dosso (European Commission – JRC - IPTS); Fernando Hervas (European Commission – JRC - IPTS); Antonio Vezzani (European Commission – JRC - IPTS)
    Abstract: This Policy brief discusses the key role of large R&D investors in the dynamics of innovation ecosystems. In a context of accelerated technological change and increasing global competition, firms should develop complex innovative solutions requiring the interaction of multiple-players. Therefore, knowledge integration becomes a key strategic dimension to keep the edge in the global competition and ecosystems of innovation are privileged ‘places’ where it can be organised in a way that ensures the creation of a higher collective value. Evidence shows that leading R&D investors can play a pivotal role in the establishment and development of such ecosystems, by bringing the necessary assets (resources, knowledge, capabilities and leadership) to activate their dynamics (along the three dimensions of interdependence, integration and initiative). This brief identifies a number of policy interventions to support the functioning of such innovation ecosystems and calls to tailor the interventions in accordance to the stage of development of the given ecosystem.
    Keywords: ecosystem of innovation, corporate R&D, knowledge integration
    Date: 2015–08
  3. By: Mamello Nchake, Lawrence Edwards and Asha Sundaram
    Abstract: We study the relationship between price-setting behavior and the degree of competition in a setting where markets and information flows are relatively imperfect. Using a unique dataset that combines survey data on retail outlets in Lesotho, and detailed historical information on their product prices, we find a non-monotonic relationship between the frequency of price changes and perceived competition, measured by the number of reported competitors. This non-monotonic relationship is consistent with a model of increasing costs of coordinating price changes under tacit collusion with few competitors, and a breakdown of collusion at higher levels of competition.
    Keywords: price rigidity, Competition, Survey data, Micro price data, Emerging economies
    JEL: E30 D40 D22 L21
    Date: 2015
  4. By: Zavelberg, Yvonne; Storm, Hugo
    Abstract: This study analyses spatial competition in Germany’s raw milk market differentiating between cooperatives and investor-owned firms. We assess the impact of the own legal form and that of neighboring competitors on the pricing behavior. The focus of the empirical analysis is on the relations of space, measured as the average distance to competing neighbours, and raw milk prices. The results allow testing the shape of the relationship between price and space derived theoretically in the literature. For the south of Germany we find a negative relationship between space and raw milk price while for the north the relationship is positive. In both north and south the effect is stronger for cooperative compared to investor-owned firms. Further, we test for the competitive yardstick effect for which we find only small evidence in the south. The estimation is based on a data set covering all German dairies from 2001 to 2012 providing information on raw milk prices, processing quantities, legal and production form.
    Keywords: market power, imperfect competition, spatial competition, cooperatives, investor-owned firms, competitive yardstick, Agricultural and Food Policy,
    Date: 2015

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