Mariola Sánchez, José Antonio Belso-Martínez, María José López-Sánchez, Adrián Nerja
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Incentives to exclusive and non-exclusive technology licensing under partial vertical integration
In this paper, we compare the scenarios of exclusive licenses and cross-licenses under the existence of partial vertical integration. To do this, a successive duopoly model is proposed, with two technology owners and two firms competing in a differentiated product market. Each technology owner has a share in one of the competing firms, so that competition is also extended to the upstream R&D sector. Thus, this model represents a mixed case to what is normally analyzed in the literature. We explore the implications of the size of innovation and the degree of vertical integration in technology diffusion. In equilibrium, patent holders’ decisions might not be aligned.
期刊介绍:
The Manchester School was first published more than seventy years ago and has become a distinguished, internationally recognised, general economics journal. The Manchester School publishes high-quality research covering all areas of the economics discipline, although the editors particularly encourage original contributions, or authoritative surveys, in the fields of microeconomics (including industrial organisation and game theory), macroeconomics, econometrics (both theory and applied) and labour economics.