|
EconStor >
Max-Planck-Institut für Ökonomik, Jena >
Jena Economic Research Papers, MPI für Ökonomik >
Please use this identifier to cite or link to this item:
http://hdl.handle.net/10419/32607
|
| | |
| Title: | | Technology, competition and the time of entry: Diversification patterns in the development of new drugs  |
| Authors: | | Plotnikova, Tatiana |
| Issue Date: | | 2009 |
| Series/Report no.: | | Jena economic research papers 2009,078 |
| Abstract: | | This paper empirically investigates the determinants of R&D diversification strategies in the drug industry. It enriches the existing literature by proposing to look at diversification factors, which reflect market and technological proximity of an R&D project towards other projects within a firm's portfolio as well as R&D competition factors. Additionally, the characteristics of R&D in the market where a new potential product is developed affect future product choice. The analysis is performed for products-in-development data, merged with firms' patents, which allows us to separate project proximity in market niches from technological proximity. The results of empirical estimation support an idea that R&D diversification is governed by the economies of scope as well as the escape competition motive. Moreover, it is found that competition rather than spillovers in the niche where an R&D project is developed defines firms' decisions to diversify. |
| Subjects: | | diversification technological diversity relatedness competition R&D |
| JEL: | | O32 L25 L65 |
| Document Type: | | Working Paper |
| Appears in Collections: | | Jena Economic Research Papers, MPI für Ökonomik
|
| |
| | |
Download bibliographical data as:
BibTeX
|
| |
Share on:http://hdl.handle.net/10419/32607
|
Items in EconStor are protected by copyright, with all rights reserved, unless otherwise indicated.
|