. Adopting new production technologies and realizing synergy effects might allow cost reduction, product innovation and product … upgrading. Even if GVCs represent a rich environment for innovation activities, the extent to which knowledge is created and … heterogeneous innovation capacities for the firms involved. Differences in the forms of governance underlying buyer …

This paper provides a theory of strategic innovation project choice by incumbents and start-ups. We apply this theory … innovations. Furthermore, it leads to strategic duplication of the entrant's innovation by the incumbent. These negative … innovation effects of restrictive acquisition policy have to be weighed against the pro-competitive effects of preserving …