Microeconomic the new one technology. Both technologies can

Microeconomic Approaches:

In addition to the
narrative approaches, another branch has been explored of the Sailing
Ship-Effect as part of formal analysis. Here recent examples are in
particular the work of De Liso and Filatrel. They go in their first
micro-economically sound approach from a monopolist A with old technology and
an entrant B with new technology. Furthermore, technologically determined
upper limit for the respective performance of the technologies, the old one
technology has lower maximum performance than the new one technology. Both
technologies can be up to this maximum by improved research and development (R
& D) input from companies based on decreasing marginal utility lies. The
dynamic model world thus formulated allows the determination of profit-optimal
R & D budgets on the part of the supplier of the old technology as a reaction
strategy to the new technology. This results in the profit of the supplier
of the old technology A (similar applies to the Entrant B) from the formula:

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Where ? describes the profit of the monopolist in the period t +
1. This on the one hand consists of the direct profits, consisting of the
profit span (pc) multiplied by the set quantity q, from the paragraph of
product as well as the interest-bearing expenditures for R & D of the
previous period (R (t)  (1 + r)) together. At the moment where
there is no competitor with new Technology, the company does not spend R &
D expenditures. Thus is R (t) = 0 and the set amount q corresponds to
the total market volume Q.

Furthermore, by
the adding interest r the alternative to R & D by investing in one other
line of business or investment in the capital market for R & D budget
minded. The determination of the R budget R is based on the only use the
old technology at the profit maximization principle and seeks therefore the
maximum profit R budget R, assuming that R & D investment always leads to
improvements in the performance of technology lead logistic. The change in
performance through R & D is presented through the performance function
f P, which depends on the current performance level P (t) and R &
D investment R (t). This behavior is shown by the following formula:

 

                                          

Thus, the
performance level in the period (t + j) results from the previous one
performance level in t as well as the R & D induced improvement. Further,
the authors assume that the market share, for the provider of the old
Technology A.

 

Research approaches to the existence of Sailing
Ship-Effect

Studies did take
the phenomenon of the Sailing-Ship-Effect, must meet the limitations of previously
existing research. The primary limitation of the existing research can
condense out that worked empirically in places lacking and so no chewing ointment
relationship could be derived. Therefore shall a concrete technological shear
paradigm shift is Analyzed to test the hypothesis of Sailing-Ship-Effect
check. The phenomenon of the Sailing-Ship-Effect can be applied to suggested
different levels in the technological implementation process become. Such
a competition can take place as early as the R & D phase or constructive table
with specific products in the markets. Around the central for testing standing
testimony to the innovative impact of the emergence of new technologies to
investigate energy on old technology, It Seems Necessary therefore to combine
several approaches. First, it is conceivable did specific research and development
decisions in companies investigate. For this, the actual R & D budget
at project level could analyzed be overtime. The actual allocation of
resources in entrepreneurial rule budgeting process will show clear direction
decisions and weightings between competing technologies as another proxy for
the Sailing ship effect particular patent can be use. For examination of
the extent of the Sailing ship effect actually effect on products in the
market, has to analysis Appear the concrete product innovations in the
automotive market effective. As third party approach should be further investigated
how the perceived threat of the new technology actually affect concrete home has
innovation decisions in the companies in the automotive industry.

 

Analysis of research and development portfolio

One possible approach to
analysis of the Sailing ship-Effect is the loading of R&D budget decisions. So
could the specific R&D budgets lower on factual project level over a period
to the effect Examined be to which competing technology the budgeted R&D
making contribution to the project. If synthesis budget decisions for new
or for the old technology now has several relevant company within observed the
field of technology were available, could be examined how investment in new
technology have on impact on have investments in old technology. The R&D
budget, as shown above, as a proxy for the profit expectation of corporate
management to be of understood.  Thus, it reflects the expected market opportunities
the projects under consideration respectively. One possible effect between
the budget allocation in the new technology and the budget allocation for the
old Technology Could be a strong indication of the existence of the Sailing
ship its effect. With seeking a research approach could directly
correspondingly on the modeled versions.

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