The goal of this paper is to present a formal model of firm innovation that simultaneously analyzes innovation factors … serves here as an input measure of firm innovation. R&D intensity can be defined as a ratio of firm's R&D spending to the … an elasticity-based model of firm innovation. Further, within the model framework, it is shown how horizontal R …

firms. Specifically, we explore the impact of vertical R&D cooperation on firms’ process innovation, outputs, market prices … integrated industry. Contribution & Value Added: Firms’ process innovation benefits from the vertical integration of the industry …

innovation and firm performance. Based on the industrial economics literature and the optimisation model, R&D competition, R … innovation compared with R&D competition. However, profit-maximising firms do not prefer the R&D competition strategy. They … with respect to the firm's investment in R&D. The social cost of R&D cartelisation is a loss of product innovation, and the …

the new product and the patent holder obtains the entire value of product innovation. Second, we show that royalty …