Corporate Finance, Innovation, and Strategic Competition
Editorial Reviews
Book Description
This book analyzes how corporate finance decisions influence strategic competition and innovation of firms in the product market. We consider bank loan financing and venture capital financing. Due to assymetric information, firms must sign special contracts with banks or venture capitalists. The financial contracts, in turn, determine the competitive strategies of firms in the product market. Firms compete in prices for market shares. In addition to that, firms invest in R&D in order to induce product or process innovation. We show that better access to financial resources improves a firm's market position and leads to a higher rate of innovation. Cash-rich firms may even decide to prey upon financially restricted rivals in order to prevent new market entry or to induce market exit.
Book Info
This book analyzes how corporate finance decisions influence strategic competition and innovation of firms in the product market. Softcover.
Corporate Finance, Innovation, and Strategic Competition,Cornelia Neff,Springer,3540442944,Accounting - General,Business & Economics,Business / Economics / Finance,Business/Economics,Competition,Corporate Finance,Corporations,Economics - General,Finance,Financial Economics (General),General,Assymetric Information,Business & Economics / Economics / General,Business competition,Credit Markets,Imperfect Dynamic Competition,R&D,Venture Capital
Hot Books:
Recommended Books