This paper explores the effects of innovation efficiency on technology gap and product diversity between a leading firm … and its competitor. Our analysis shows some interesting results: when innovation efficiency is sufficiently large and … firm will choose to reduce product diversity which intensifies price competition. We have also examined the role of …

innovation activity of firms. Firstly, it summarizes the evolution of productivity, competitiveness, firms' strategies and the … state of innovation. A slowdown in productivity growth and increasing revealed difficulties in some world markets are real …, and the weakness of innovation may be a reason. The paper then quantifies some of the links between innovation …

market competition affects the economic gain firms can obtain from innovation. Empirical evidence is lacking because the … innovation value is not observable, and the innovation-competition relationship is endogenous. This paper adopts a stock market … decrease in market competition increases patent value. This paper contributes to the competition-innovation literature by …

This paper studies the effect of competition on firm innovation by developing a discrete-time endogenous growth model … analysis shows that rising competition leads incumbent firms to undertake (i) more (less) internal innovation for the products … innovation. Specifically, the shift in innovation composition in response to rising competition decreases overall innovation in …