Please use this identifier to cite or link to this item: http://hdl.handle.net/10419/127076
Authors: 
Yoshida, Shohei
Pan, Cong
Year of Publication: 
2015
Series/Report no.: 
ISER Discussion Paper, Institute of Social and Economic Research, Osaka University 953
Abstract: 
The paper explains why some firms transfer their technology to competitors without direct compensation. We consider a Hotelling market where duopolists sell products with different qualities. This market consists of heterogeneous consumers, comprising two groups in terms of their valuations of product quality. We show that when consumers' preferences for product quality are sufficiently heterogeneous, a high-quality firm benefits from qualityenhancing technology transfer without payment. Furthermore, we extend the model to a circular city with four firms and show that a firm can benefit from a technology transfer to direct competitors rather than to an indirect competitor.
Subjects: 
Technology transfer
Competitor collaboration
Consumer heterogeneity
JEL: 
L24
L41
M21
Document Type: 
Working Paper

Files in This Item:
File
Size





Items in EconStor are protected by copyright, with all rights reserved, unless otherwise indicated.