Competition Strategies and Competition Policy in the Global Information Economy

Collaborators: among others Oz Shy (University of Haifa), Thomas Gehrig (University of Freiburg), Luis Alvarez (Turku School of Economics), Mihkel Tombak (University of Toronto), Otto Toivanen (Helsinki School of Economics). This is a multiyear (2001-2004) "large" research project funded by The Yrjö Jahnsson Foundation and directed by Professor Rune Stenbacka. The operation of the project involves an international network of qualified researchers. The project focuses on a number of topics with the common denominator of attempting to present a characterization of crucial microeconomic consequences of the technological revolution behind the emerging "new" information economy from the point of view of competition analysis. The approach used will be based on modern industrial organization with a particular emphasis on strategic competition within the framework of oligopoly markets. The project aims at an applied perspective with a particular emphasis on the challenges created by the innovation-intensive core industries in the information economy for the authorities implementing competition policy. In light of the overall perspective briefly outlined above the individual research contributions will specifically focus on: The Economics of Network Industries, Strategic Creation of Switching Costs: Characterizations and Consequences, Strategic Outsourcing, The Organization and Management of R&D, Strategic Adoption of New Technologies, Exchange of Information in Oligopolies, Dynamic Oligopoly Competition, The Consequences of Market Transparency, Supranational versus National Competition Policy. A working paper series is associated with the project.