-return characteristics of the selected innovation project and the mode of commercialization chosen by entrepreneurs (market entry versus sale …

sales price of a developed innovation. This will trigger preemptive acquisitions by incumbents, thus increasing the reward …

entrepreneurs with respect to commercialization as well as the rate of innovation. We find that stronger intellectual property … them. Consequently, we demonstrate that competition policy has a clearer role in promoting a higher rate of innovation in … increasing the rate of entrepreneurial innovation. …

growth. In this paper we study the effects of tax and subsidy policies on entrepreneurs’ choice of riskiness of an innovation … project and on their mode of commercializing the innovation (market entry versus sale). Limited loss offset provisions in the … fundamental policy trade-off between the declared goals of promoting employment and innovation in small, entrepreneurial firms …

aggressive development of a basic innovation by better informed venture-backed firms is used as a signaling device to enhance the … sale price of the innovation. We then show that incumbents can undertake early, preemptive, acquisitions to prevent such … signaling driven overinvestment, despite the risk of buying a non-productive innovation. Therefore, to exist in equilibrium …

' signaling-driven investment, despite the risk of buying a bad innovation. We finally show at what point the presence of active …

the bidding competition for the innovation and by increasing the relative profitability of being the most efficient firm … innovation for sale, relative to innovation for entry. …