Multiproject contact in research joint ventures: evidence and theory

• Published in: Journal of economic behavior & organization Vol. 58; no. 4; pp. 459 - 486
• Main Authors: Snyder, Christopher M., Vonortas, Nicholas S.
• Format: Journal Article
• Language: English
• Published: Amsterdam Elsevier B.V 01-12-2005; Elsevier; Elsevier Sequoia S.A
• Series: Journal of Economic Behavior & Organization
• Subjects: Alliances; Bargaining; Data analysis; Economic research; Empirical tests; Joint ventures; Multimarket contact; Multiproject contact; National Cooperative Research Act; Negotiations; Organization theory; Research coordination; Research joint ventures; Research policy; Scientific communities; Studies; U.S.A; L15; C78; Multiproject contact; Bargaining; Research joint ventures; Multimarket contact; O32
• ISSN: 0167-2681; 1879-1751
• DOI: 10.1016/j.jebo.2004.03.007

In the first part of this paper, we conduct an empirical analysis of all research joint ventures registered under the National Cooperative Research Act. We document the pervasiveness of multiproject contact, defined as groups of firms engaging in several research joint ventures together. In the second part of the paper, we develop a theoretical model providing a new rationale for multiproject contact. In the model, each project involves decisions that are the subject of negotiations among participants. The inefficiency associated with bargaining under asymmetric information can be mitigated if negotiations over several projects are combined.