R&D Cost Sharing along the Supply Chain
A model of R&D cost sharing between a manufacturer and its component supplier is examined. The manufacturer can pay for a fraction of the supplier's cost-reducing R&D in return for a lower component price, and both firms can improve profits.
Volume (Year): 10 (2011)
Issue (Month): 1 (April)
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- Anthony Creane, 2008. "Input Suppliers, Differential Pricing, and Information Sharing Agreements," Journal of Economics & Management Strategy, Wiley Blackwell, vol. 17(4), pages 865-893, December.
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