Innovation, Imitation and Open Source
AbstractAn extensive empirical literature indicates that, even without formal intellectual property rights, innovators enjoy a variety of first-mover advantages and that `imitation' is itself a costly activity. There is also accumulating evidence that an `open' approach to knowledge production can deliver substantial efficiency advantages. This paper introduces a formal framework incorporating all of these factors. We examine the relative performance of an `open' versus a `closed' (proprietary) regime, and explicitly characterise the circumstances in which an open approach, despite its effect on facilitating imitation, results in a higher level of innovation.
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Bibliographic InfoPaper provided by Economics and Econometrics Research Institute (EERI), Brussels in its series EERI Research Paper Series with number EERI_RP_2008_20.
Length: 21 pages
Date of creation: 20 Nov 2008
Date of revision:
Innovation; Imitation; Intellectual Property; Openness; Open Source;
Find related papers by JEL classification:
- L17 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance - - - Open Source Products and Markets
- L5 - Industrial Organization - - Regulation and Industrial Policy
- O3 - Economic Development, Technological Change, and Growth - - Technological Change; Research and Development; Intellectual Property Rights
This paper has been announced in the following NEP Reports:
- NEP-ALL-2008-12-14 (All new papers)
- NEP-COM-2008-12-14 (Industrial Competition)
- NEP-ICT-2008-12-14 (Information & Communication Technologies)
- NEP-INO-2008-12-14 (Innovation)
- NEP-IPR-2008-12-14 (Intellectual Property Rights)
- NEP-KNM-2008-12-14 (Knowledge Management & Knowledge Economy)
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