This file is part of IDEAS, which uses RePEc data


[ Papers | Articles | Software | Books | Chapters | Authors | Institutions | JEL Classification | NEP reports | Search | New papers by email | Author registration | Rankings | Volunteers | FAQ | Blog | Help! ]

The Role of R&D Diversification in Exploiting Knowledge Spillover: Evidence from Major Japanese Chemical and Pharmaceutical Companies

Author info | Abstract | Publisher info | Download info | Related research | Statistics
Author Info
Tsuyoshi Nakamura (Center for International Research on the Japanese Economy, University of Tokyo)
Abstract

The role of R&D diversification has been explained by the fact that there exist knowledge spillovers among research programs within a firm. However, the benefit from diversification is not ensured by internal spillovers only. Knowledge can spill over not only within a firm, but also across firms. If it costs a firm to exploit external knowledge spillovers no more than to internal knowledge spillovers, the firm need not keep wide variety of research menu inside. The aim of this paper is to clarify the role of R&D diversification with taking care of knowledge spillovers both within a firm and across firms. The main hypothesis is that the impact of diversification is exaggerated when a firm confronts barrier to exploit knowledge stock outside. Based on the patent data of about 30 major companies in Japanese chemical and pharmaceutical industries, this paper finds the evidence in favor of this hypothesis. Robustness of the results is held for several indices of R&D diversification. The impact of R&D diversification depends on both quantitative and qualitative measures of accessibility to external knowledge.

Download Info
To download:

If you experience problems downloading a file, check if you have the proper application to view it first. Information about this may be contained in the File-Format links below. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.

File URL: http://www.e.u-tokyo.ac.jp/cirje/research/dp/99/cf66/contents.htm
File Format: text/html
File Function:
Download Restriction: no

Publisher Info
Paper provided by CIRJE, Faculty of Economics, University of Tokyo in its series CIRJE F-Series with number CIRJE-F-66.

Download reference. The following formats are available: HTML (with abstract), plain text (with abstract), BibTeX, RIS (EndNote, RefMan, ProCite), ReDIF
Length: 37 pages
Date of creation: Dec 1999
Date of revision:
Handle: RePEc:tky:fseres:99cf66

Contact details of provider:
Web page: http://www.e.u-tokyo.ac.jp/cirje/index.htm

For technical questions regarding this item, or to correct its listing, contact: ().

Related research
Keywords:

This paper has been announced in the following NEP Reports:

References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
  1. Teece, David J., 1980. "Economies of scope and the scope of the enterprise," Journal of Economic Behavior & Organization, Elsevier, vol. 1(3), pages 223-247, September. [Downloadable!] (restricted)
  2. Jaffe, Adam B, 1986. "Technological Opportunity and Spillovers of R&D: Evidence from Firms' Patents, Profits, and Market Value," American Economic Review, American Economic Association, vol. 76(5), pages 984-1001, December. [Downloadable!] (restricted)
    Other versions:
  3. Mowery, David C. & Oxley, Joanne E. & Silverman, Brian S., 1998. "Technological overlap and interfirm cooperation: implications for the resource-based view of the firm," Research Policy, Elsevier, vol. 27(5), pages 507-523, September. [Downloadable!] (restricted)
  4. Cohen, Wesley M & Levinthal, Daniel A, 1989. "Innovation and Learning: The Two Faces of R&D," Economic Journal, Royal Economic Society, vol. 99(397), pages 569-96, September. [Downloadable!] (restricted)
  5. Jovanovic, B., 1993. "The Diversification of Production," Working Papers 93-11, C.V. Starr Center for Applied Economics, New York University. [Downloadable!]
  6. Panzar, John C & Willig, Robert D, 1981. "Economies of Scope," American Economic Review, American Economic Association, vol. 71(2), pages 268-72, May. [Downloadable!] (restricted)
  7. Rebecca Henderson & Iain Cockburn, . "Scale, Scope and Spillovers: The Determinants of Research Productivity in Drug Discovery," Working Papers ec25/94, Department of Economics, University of Lancaster.
    Other versions:
Full references

Statistics
Access and download statistics

Did you know? IDEAS uses the data collected within the RePEc project, the largest online bibliographic database in Economics.

This page was last updated on 2010-1-4.

This information is provided to you by IDEAS at the Department of Economics, College of Liberal Arts and Sciences, University of Connecticut using RePEc data on a server sponsored by the Society for Economic Dynamics.