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Technology transfer and its effect on innovation

Author

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  • Neelanjan Sen

    (Department of Commerce, St. Xavier''s College, Kolkata)

Abstract

This paper analyses the relationship of technology transfer and innovation in a Cournot duopoly framework, where technology transfer between the firms may occur after the innovation decision is taken by the high cost firm. The possibility of licensing via fixed-fee or royalty, encourages (discourages) innovation if the cost difference between the firms is high (low). Hence, it is shown that technology transfer and innovation are substitutes (complements) if the cost difference between the firms is low (high).

Suggested Citation

  • Neelanjan Sen, 2015. "Technology transfer and its effect on innovation," Economics Bulletin, AccessEcon, vol. 35(4), pages 2523-2534.
    • Handle: RePEc:ebl:ecbull:eb-15-00653
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    References listed on IDEAS

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    Cited by:

    1. Cansino, José M. & Román, Rocío, 2017. "Energy efficiency improvements in air traffic: The case of Airbus A320 in Spain," Energy Policy, Elsevier, vol. 101(C), pages 109-122.
    2. Neelanjan Sen & Rajit Biswas, 2017. "Indirect Taxes in Oligopoly in Presence of Licensing Opportunities," Journal of Industry, Competition and Trade, Springer, vol. 17(1), pages 61-82, March.
    3. Simplice A. Asongu & Ndemaze Asongu, 2019. "The Role of Mobile Phones in Governance-Driven Technology Exports in Sub-Saharan Africa," Journal of the Knowledge Economy, Springer;Portland International Center for Management of Engineering and Technology (PICMET), vol. 10(2), pages 849-867, June.
    4. Asongu, Simplice A. & Nwachukwu, Jacinta C. & Orim, Stella-Maris I., 2018. "Mobile phones, institutional quality and entrepreneurship in Sub-Saharan Africa," Technological Forecasting and Social Change, Elsevier, vol. 131(C), pages 183-203.
    5. Steinar Andresen & Jon Birger Skjærseth & Torbjørg Jevnaker & Jørgen Wettestad, 2016. "The Paris Agreement: Consequences for the EU and Carbon Markets?," Politics and Governance, Cogitatio Press, vol. 4(3), pages 188-196.

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    More about this item

    Keywords

    Technology licensing; Innovation; Cournot Competition;
    All these keywords.

    JEL classification:

    • L2 - Industrial Organization - - Firm Objectives, Organization, and Behavior
    • L1 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance

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