Stability Analysis of R&D Cooperation in a Supply Chain
Joint Authors
Xu, Luyun
Liang, Dong
Duan, Zhenjie
Xiao, Xu
Source
Mathematical Problems in Engineering
Issue
Vol. 2015, Issue 2015 (31 Dec. 2015), pp.1-10, 10 p.
Publisher
Hindawi Publishing Corporation
Publication Date
2015-10-19
Country of Publication
Egypt
No. of Pages
10
Main Subjects
Abstract EN
R&D outsourcing becomes the often-adopted strategy for firms to innovate.
However, R&D cooperation often ends up with failure because of its inherent quality of instability.
One of the main reasons for cooperation failure is the opportunistic behavior.
As the R&D contract between firms is inherently incomplete, opportunistic behavior always cannot be avoided in the collaborative process.
R&D cooperation has been divided into horizontal and vertical types.
This paper utilizes game theory to study opportunistic behavior in the vertical R&D cooperation and analyzes the equilibrium of the cooperation.
Based on the equilibrium and numerical results, it is found that the vertical R&D cooperation is inherently unstable, and the downstream firm is more likely to break the agreement.
The level of knowledge spillovers and the cost of R&D efforts have different effects on firms’ payoffs.
When the level of knowledge spillover is low or the cost of R&D efforts is high, mechanisms such as punishment for opportunism may be more effective to guarantee the stability of cooperation.
American Psychological Association (APA)
Xu, Luyun& Liang, Dong& Duan, Zhenjie& Xiao, Xu. 2015. Stability Analysis of R&D Cooperation in a Supply Chain. Mathematical Problems in Engineering،Vol. 2015, no. 2015, pp.1-10.
https://search.emarefa.net/detail/BIM-1073767
Modern Language Association (MLA)
Xu, Luyun…[et al.]. Stability Analysis of R&D Cooperation in a Supply Chain. Mathematical Problems in Engineering No. 2015 (2015), pp.1-10.
https://search.emarefa.net/detail/BIM-1073767
American Medical Association (AMA)
Xu, Luyun& Liang, Dong& Duan, Zhenjie& Xiao, Xu. Stability Analysis of R&D Cooperation in a Supply Chain. Mathematical Problems in Engineering. 2015. Vol. 2015, no. 2015, pp.1-10.
https://search.emarefa.net/detail/BIM-1073767
Data Type
Journal Articles
Language
English
Notes
Includes bibliographical references
Record ID
BIM-1073767