Supply Chain Innovations and Partial Ownership

نویسندگان

چکیده

Abstract When knowledge sharing is non-contractible, we show that competing downstream firms may prefer to help improve an inefficient alternative supply source than the technology of efficient actual supplier—even if this costless. A firm can have incentives decrease efficiency supplier in order its outside options. Non-controlling partial backward ownership can—through participation firm(s) upstream profits—align and customers. This improves industry performance while simultaneously benefiting consumers. Partial has similar effects as strengthening a firm’s bargaining power making contractible.

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ژورنال

عنوان ژورنال: Review of Industrial Organization

سال: 2021

ISSN: ['1573-7160', '0889-938X']

DOI: https://doi.org/10.1007/s11151-021-09836-9