Innovation is key to technology adoption and creation, and to explaining the vast differencesin productivity across and within countries. Despite the central role of the entrepreneur in theinnovation process, data limitations have restricted standard analysis of the determinants ofinnovation to...

Modeling the spatial aspect of growth has finally become an important subject of economics as exemplified by the increasing popularity of the new economic geography. However, new economic geography models have still not been able to develop a consistent approach to integrate innovation, space...

The authors determines a two product company, that sells their products with different quality under an umbrella brand.

Despite the empirical relevance of advertising strategies in concentrated markets,the economics literature is largely silent on the effect of persuasive advertisingstrategies on pricing, market structure and increasing (or decreasing) dominance.In a simple model of persuasive advertising and...

We consider a model of a TV oligopoly where TV channels transmit advertising and viewersdislike such commercials. We show that advertisers make a lower profit the larger the numberof TV channels. If TV channels are sufficiently close substitutes, there will be underprovisionof advertising...

The information and communications revolution has hastened the process of globalizationin today's world of business. Consequently, businesses, even small and mid-sized companies,are confronted with cultural diversity when these companies become internationally active.Yet only few businesses are...

This paper presents the computational model of consumer behaviour. We consider twosources of product specic consumer skill acquisition, termed here as learning how to consume:learning by consuming and consumer socialization. Consumers utilize these two sources inorder to derive higher valuations...

We propose a framework for analyzing transformations of demand. Such transformations frequently stem from changes in the dispersion of consumers` valuations, which lead to rotations of the demand curve. In a wide variety of settings, profits are a U-shaped function of dispersion. A high level of...

Using a new dataset encompassing more than 2,200 inventions made by Max Planck Societyresearchers from 1980 to 2004, we explore how licensee and technology characteristics affectthe licensing and commercialization of technologies from public research. We find noevidence that spin-offs and...

Purpose: We examine motives for hiring a non-family Chief FinancialOfficer (CFO) in family firms. We explore the perceptions of family firm ownerstowards external managers by analyzing how their goals relate to the employmentof a non-family CFO.Design/methodology/approach: Our study is based on...