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Heterogeneity in R&D Cooperation Strategies

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  • Veugelers, Reinhilde
  • Belderbos, René
  • Carree, Martin A
  • Lokshin, Boris
  • Diederen, Bert

Abstract

We explore heterogeneities in the determinants of innovating firms? decisions to engage in R&D cooperation, differentiating between three types of cooperation partners: suppliers and customers (vertical cooperation), competitors (horizontal cooperation), and universities and research laboratories (institutional cooperation). We use panel data on innovating firms drawn from two Dutch Community Innovation Surveys in 1996 and 1998. Applying a system method estimator for probit equations shows significantly positive correlations between the different cooperation decisions, suggesting that R&D cooperation strategies are complements rather than substitutes. We find that the determinants of R&D cooperation differ significantly and substantially across cooperation types. As suggested by industrial organization theory of R&D cooperation, the effects of spillovers depend on their source: while horizontal spillovers have ambiguous effects on horizontal cooperation, vertical spillover positively impact vertical cooperation and institutional spillovers significantly impact all types of cooperation. The results are largely robust to correction for potential simultaneity bias.

Suggested Citation

  • Veugelers, Reinhilde & Belderbos, René & Carree, Martin A & Lokshin, Boris & Diederen, Bert, 2003. "Heterogeneity in R&D Cooperation Strategies," CEPR Discussion Papers 4021, C.E.P.R. Discussion Papers.
    • Handle: RePEc:cpr:ceprdp:4021
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    More about this item

    JEL classification:

    • L13 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance - - - Oligopoly and Other Imperfect Markets
    • O30 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - General
    • O32 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Management of Technological Innovation and R&D
    • O34 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Intellectual Property and Intellectual Capital

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