Full-Text Search:
Home|Journal Papers|About CNKI|User Service|FAQ|Contact Us|中文
《Journal of Systems Engineering》 2001-01
Add to Favorite Get Latest Update

Comparisons of the upstream R&D expenditures between vertical integration and non integration

HUO Pei jun,XUAN Guo liang (Department of Enterprise Management, Shanghai Jiao Tong University, Shanghai 200052,China)  
There are an upstream and a downstream firm in the market. The upstream firm can reduce its product's cost through RD. This paper studies how the upstream RD expenditure and the downstream output vary with vertical integration. It is shown that, after the vertical integration, the upstream RD expenditure, the downstream output, the industry profit, the consumer's surplus and the social welfare are all increased. Before the vertical integration, the lack of the upstream RD expenditure and the downstream output attributes to that the upstream decision does not take into account the downstream profit and vice versa. A special example is given to further demonstrate the results of this paper.
【Fund】: 国家自然科学基金资助项目 !(70 0 710 16)
【CateGory Index】: F273.2
Download(CAJ format) Download(PDF format)
CAJViewer7.0 supports all the CNKI file formats; AdobeReader only supports the PDF format.
©2006 Tsinghua Tongfang Knowledge Network Technology Co., Ltd.(Beijing)(TTKN) All rights reserved