The Impact of Royalty Contract Revision in a Multistage Strategic R&D Alliance
research and development, royalty contract, renegotiation, incentives, R&D alliance
This paper investigates the impact of royalty revision on incentives and profits in a two-stage (research and development (R&D) stage and marketing stage) alliance with a marketer and an innovator. The marketer offers royalty contracts to the innovator. We find that the...