IDEAS home Printed from https://ideas.repec.org/a/oup/ajagec/v85y2003i1p216-233.html
   My bibliography  Save this article

Strategic Behavior and Consolidation in the Agricultural Biotechnology Industry

Author

Listed:
  • Stanley R. Johnson
  • Tigran A. Melkonyan

Abstract

We develop a model explaining the consolidation patterns in the agricultural biotechnology industry. Among different consolidation and cooperation mechanisms, we consider collaborative and licensing agreements, joint ventures, acquisitions, and exchanges of ownership and spin-offs. The key results derive from the benefits of coordinated actions, distinction between transferable and nontransferable payoffs, the substitutability, complementarity, and the importance of the managers' noncontractible investments, and access and expansion of markets. Results from the model are used to examine the cooperation and consolidation activities for four major players in the agricultural biotechnology industry, DuPont, Dow Chemical, Monsanto, and Novartis. Copyright 2003, Oxford University Press.

Suggested Citation

  • Stanley R. Johnson & Tigran A. Melkonyan, 2003. "Strategic Behavior and Consolidation in the Agricultural Biotechnology Industry," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 85(1), pages 216-233.
    • Handle: RePEc:oup:ajagec:v:85:y:2003:i:1:p:216-233
    as

    Download full text from publisher

    File URL: http://hdl.handle.net/10.1111/1467-8276.00114
    Download Restriction: Access to full text is restricted to subscribers.
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. O'Shea, Lucy & Ulph, Alistair, 2008. "The role of pest resistance in biotechnology R&D investment strategy," Journal of Environmental Economics and Management, Elsevier, vol. 55(2), pages 213-228, March.
    2. Rousselière, Samira & Rousselière, Damien & Ramani, Shyama, 2016. "Innovation Led Alliances: Theory and application to the GM Plant Industry," 149th Seminar, October 27-28, 2016, Rennes, France 244949, European Association of Agricultural Economists.
    3. Taiji Furusawa & Keisaku Higashida & Jota Ishikawa, 2004. "Tariffs versus quotas in the presence of imperfect competition and cross-border externalities," Canadian Journal of Economics, Canadian Economics Association, vol. 37(2), pages 445-458, May.
    4. Yuri Kozenko & Konstantin Kozenko & Svetlana Zemlyanitsyna, 2015. "Peculiarities of National Systems of Global Agricultural Credit Cooperation and Their Adaptation to Russian Conditions," European Research Studies Journal, European Research Studies Journal, vol. 0(3), pages 149-166.
    5. Sharmistha Bagchi-Sen & Jennifer Scully, 2007. "Strategies and External Relationships of Small and Medium-Sized Enterprises in the US Agricultural Biotechnology Sector," Environment and Planning C, , vol. 25(6), pages 844-860, December.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:oup:ajagec:v:85:y:2003:i:1:p:216-233. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Oxford University Press (email available below). General contact details of provider: https://edirc.repec.org/data/aaeaaea.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.