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R&D Decisions when Quality and Variety Interact

Author

Listed:
  • Hans DEGRYSE
  • Andreas IRMEN

Abstract

Often a quality improvement necessitates modifications of varietal product features. This paper studies firms' incentives to invest in quality improving R&D when this decision affects the goods' degree of varietal differention.

Suggested Citation

  • Hans DEGRYSE & Andreas IRMEN, 1996. "R&D Decisions when Quality and Variety Interact," Cahiers de Recherches Economiques du Département d'économie 9614, Université de Lausanne, Faculté des HEC, Département d’économie.
    • Handle: RePEc:lau:crdeep:9614
    as

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    More about this item

    Keywords

    R&D; quality standards; multi-dimentional product differentiation;
    All these keywords.

    JEL classification:

    • D21 - Microeconomics - - Production and Organizations - - - Firm Behavior: Theory
    • L15 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance - - - Information and Product Quality

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