Compound Learning, Neural Nets And The Competitive Process
In this paper we try to assess the potential application of neural networks as a modelling tool for complex evolutionary processes. The concept that we wish to investigate is the one of compound learning, that is the fact that, in a complex environment, what and how much economic entities learn depends upon what has been learnt in other entities in an interactive fashion. Our application consists of a stylised environment in which two firms learn how to innovate their product and to sell it on a market which learns how to evaluate the product which is being supplied. We seek to demonstrate that what matters for competitive advantage is not the absolute value of learning capability but the differential learning capability between the competing firms and between the firms and the market. Another appealing way to see it is that the chance for one of the two firms to gain competitive advantage is not unlimited but is constrained by own learning capability and the learning capability of the market.
If you experience problems downloading a file, check if you have the proper application to view it first. 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.
As the access to this document is restricted, you may want to look for a different version under "Related research" (further below) or search for a different version of it.
Volume (Year): 7 (1998)
Issue (Month): 4 ()
|Contact details of provider:|| Web page: http://www.tandfonline.com/GEIN20|
|Order Information:||Web: http://www.tandfonline.com/pricing/journal/GEIN20|
When requesting a correction, please mention this item's handle: RePEc:taf:ecinnt:v:7:y:1998:i:4:p:271-302. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Michael McNulty)
If references are entirely missing, you can add them using this form.