Research on Core technology R&D Investment and Outcome Transformation Strategy of Single Manufac-turer Based on Multi-factor Influences
This study examines the impact of uncertainty in core technology R&D innovation on a second-tier supply chain comprising two rival final product manufacturers and a key component supplier. It investigates a single manufacturer's decision-making regarding R&D investment and outcome transformation. Four scenarios are identified based on different investment and transformation strategies: no investment, individual invest-ment with self-use of outcomes, individual investment with outcome transfer, and cooperative investment with outcome sharing. The study analyzes how these strate-gies affect the supply chain and considers the influence of R&D success rate and competition intensity. Findings suggest that a manufacturer's strategic choices are influenced by competition intensity, R&D success rate, and investment costs. Spe-cifically, high R&D investment costs become crucial under significant R&D uncertainty, while under low uncertainty, optimistic R&D success expectations reduce the im-portance of investment costs. Manufacturers can increase overall supply chain profit when investment costs are low and success rates are high. Moreover, as competition intensifies, self-use of R&D outcomes by the manufacturer becomes more advanta-geous for the supply chain. This research contributes theoretical insights into single manufacturer R&D investment decisions and offers valuable insights for further ex-ploration in core technology R&D investment and outcome transformation strategies.
Authors
- Nanjie Li (ORCID: https://orcid.org/0000-0001-6344-0925)
- Ying Dai (ORCID: https://orcid.org/0000-0002-0825-9020)
- Han Song
- Erika C.H. Meng (ORCID: https://orcid.org/0000-0001-6490-4584)
Publication Details
- Journal
- Frontiers in Business Economics and Management
- Published
- 2024-11-07
- DOI
- https://doi.org/10.54097/tfapws17
- Primary Topic
- Grey System Theory Applications
- Type
- article
- Field-Weighted Citation Impact
- 0.00