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Dynamic game analysis of E-commerce platform rewards and research & development investment of settled enterprises

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  • Sheng, Zhiyun
  • Ni, Ningning

Abstract

Contributing to the literature on the E-commerce platform governance, this paper analyzes the e-commerce platform's optimal reward strategy and settled enterprises' optimal Research & Development (R&D) investment decision with different R&D patterns. The results indicate that the platform's rewards can increase settled enterprises' R&D investment and overall benefit of the ecosystem. Under R&D competition pattern, the platform's optimal reward is positively correlated with the technology spillover effect. Under R&D cartels and RJV competition patterns, the platform's optimal reward will increase as the degree of product complementarity. Under R&D competition pattern, settled enterprises' R&D investment and product quality reach the optimum.

Suggested Citation

  • Sheng, Zhiyun & Ni, Ningning, 2024. "Dynamic game analysis of E-commerce platform rewards and research & development investment of settled enterprises," International Review of Economics & Finance, Elsevier, vol. 92(C), pages 1112-1125.
    • Handle: RePEc:eee:reveco:v:92:y:2024:i:c:p:1112-1125
    DOI: 10.1016/j.iref.2024.02.068
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    References listed on IDEAS

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    More about this item

    Keywords

    E-commerce platform rewards; Settled enterprises' optimal research & development investment; Research & development pattern; Technology spillover effect; Product complementarity;
    All these keywords.

    JEL classification:

    • C02 - Mathematical and Quantitative Methods - - General - - - Mathematical Economics
    • C15 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods and Methodology: General - - - Statistical Simulation Methods: General
    • C61 - Mathematical and Quantitative Methods - - Mathematical Methods; Programming Models; Mathematical and Simulation Modeling - - - Optimization Techniques; Programming Models; Dynamic Analysis
    • C63 - Mathematical and Quantitative Methods - - Mathematical Methods; Programming Models; Mathematical and Simulation Modeling - - - Computational Techniques
    • D01 - Microeconomics - - General - - - Microeconomic Behavior: Underlying Principles
    • D50 - Microeconomics - - General Equilibrium and Disequilibrium - - - General

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