Corporate governance, product innovation, and competition

Rune Stenbacka

doi:10.1111/boer.12332

Corporate governance, product innovation, and competition

Rune Stenbacka

Economics, Helsinki

Research output: Contribution to journal › Article › Scientific › peer-review

Abstract

We show that duopolistic innovation competition between identical firms may lead to an equilibrium with asymmetric corporate governance modes with one firm being shareholder oriented and its rival stakeholder oriented. This happens if the benefit associated with innovation success faced by the stakeholders falls short of an endogenously determined threshold. Above this threshold, the corporate governance equilibrium is symmetric with both firms oriented toward maximization of shareholder value.

Original language	English
Peer-reviewed scientific journal	Bulletin of Economic Research
Volume	74
Issue number	4
Pages (from-to)	1067-1074
Number of pages	8
ISSN	0307-3378
DOIs	https://doi.org/10.1111/boer.12332
Publication status	Published - 08.02.2022
MoE publication type	A1 Journal article - refereed

Keywords

511 Economics
competition
corporate governance
innovation
stakeholder versus shareholder

UN SDGs

This output contributes to the following UN Sustainable Development Goals (SDGs)

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Bulletin of Econ Res - 2022 - Stenbacka - Corporate governance product innovation and competition(1)Final published version, 175 KBLicence: CC BY-NC-ND

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Corporate governance, product innovation, and competition

Abstract

Keywords

UN SDGs

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