Chen, Shu-Heng; Chang, Chia-Ling - In: Journal of Economics and Management 1 (2005) 2, pp. 143-162
In this paper, we study the behavior of innovation and imitation among a group of firms in a competitive industry. To … survive, firms have two fundamental choices. They can choose to be innovative firms that develop cost-reducing technology by … their own efforts. Alternatively, they can also choose to be an imitating firm, which simply ¡§steals¡¨ the technology from …
