Cournot competition among multiproduct firms:specialization through licensing

In a duopoly where each firm produces substitute goods, we show that under process innovation, specialization is the equilibrium attained with cross-licensing. Each firm produces only the good for which it has an advantage. Patent pool extension confirms the results.cross-licensing, patent pool, specialization, process innovation

Specialization through Cross-licensing in a Multi-product Stackelberg Duopoly

We argue that cross-licensing is a device to establish specialization in a multi-product Stackelberg duopoly under process innovation. The optimum licensing contracts are royalty contracts. These are designed so as to implement the joint-profit maximization (monopoly) outcome as the unique Nash equilibrium of the competition game. The monopoly-First-Best optimum is attained: each firm produces solely the good for which it has a technological advantage, firms' joint profits attain the First Best optimum. We study the implications of limitations to contract enforceability and find that this may reduce the attained degree of specialization, but social welfare may increase.cross-licensing, specialization, process innovation, Stackelberg.

Product innovation and logistic optimization in a novel urban-type model

We consider the strategic choice between product innovation and logistic optimization in a novel urban framework where consumers are distributed across the city and have different incomes depending on their location in the town. Depending on the relative efficiency of the product innovation process and the logistic innovation process as well as on the degree of spatial symmetry between the firms, both symmetric and asymmetric business strategy equilibria may arise, as well as both unique and multiple business strategy equilibria.Product innovation; logistic optimization; linear town

A rigid Calabi--Yau 3-fold

The aim of this paper is to analyze some geometric properties of the rigid Calabi--Yau threefold $\mathcal{Z}$ obtained by a quotient of $E^3$, where $E$ is a specific elliptic curve. We describe the cohomology of $\mathcal{Z}$ and give a simple formula for the trilinear form on $Pic(\mathcal{Z})$. We describe some projective models of $\mathcal{Z}$ and relate these to its generalized mirror. A smoothing of a singular model is a Calabi--Yau threefold with small Hodge numbers which was not known before.Comment: 24 pages, Version 2: minor changes, references adde