Upstream Industrial Structure,Input Price Contract and Downstream R & D
The relationship of upstream industrial structure,input price contract and incentives for cost-reducing R & D by downstream firms in a two-tier market structure is analyzed. Given floating price contract,by increasing the demand for an input,downstream R & D allows the upstream firm to raise its input price. This lowers the benefit of R & D to a downstream firm but raises its rivals costs. As a result,floating price contract promotes R & D level for downstream oligopoly and competition. For downstream monopoly,that floating contract is better than fixed contract must satisfy the condition,which the number of upstream is greater than four. When upstream monopoly,fixed-price contract promotes R & D level.
RRC effect floating price contract fixed price contract industrial structure
WANG Qiufei LI Kai XU Bo
School of Business Administration Northeastern University,P. R. China,110004
国际会议
The First International Conference on Management Innovation(ICMI 2007)(管理创新会议)
上海
英文
1100-1104
2007-06-04（万方平台首次上网日期，不代表论文的发表时间）