We build a dynamic oligopoly model with endogenous entry in which a particular firm (leader) invests in an innovation process, facing the subsequent entry of other firms (followers). We identify conditions that make it optimal for the leader in the initial oligopoly situation to undertake...

We analyse strategic trade policy with vertical product differentiation where firms from developed and less developed countries compete in both qualities and prices in the domestic market and where the developing country firm has a lower marginal efficiency in producing quality. We concentrate...