Essays on innovation and industrial economics
department or school: Business, Sauder School of
department or school: Strategy and Business Economics, Division of
data provider: DSpace
degree campus: UBCV
creator: Baik, Min Kyeong
issued: 2023-07-20T17:27:29Z
issued: 2023
related degree: Doctor of Philosophy - PhD
degree grantor: University of British Columbia
description: This thesis is a collection of three empirical studies on competition and innovation. The essays study how firms respond to competitive shocks in different contexts and understand their strategic motives. The first essay examines the impact of mergers on innovation outcomes in the context of the pharmaceutical industry. By exploiting a novel dataset at the drug-disease level, the essay finds that mergers harm the innovation outcomes of the drug projects acquired in the deals. The existence of overlap in drug portfolios does not drive the negative impact of mergers. The negative effects of mergers are driven by their negative impact on the scientific process of drug development, not on commercialization activities. The results suggest that mergers harm innovation because of the organizational challenges faced by firms during the integration process rather than because of a lessening of competition. The second essay analyzes and quantifies the impact of weakened intellectual property rights on innovation using the pharmaceutical industry data. Starting in 1997, countries like South Africa and Brazil attempted to procure low-cost HIV drugs through compulsory licensing, triggering a controversial dispute between these countries and pharmaceutical companies. The essay uses this shock to the strength of patent rights as the basis of the identification strategy and applies the synthetic control method. The essay finds a large negative effect on the development of HIV drug therapies, suggesting a dynamic trade-off in using compulsory licensing to deal with public health crises. The third essay examines the impact of competition on price dispersion. The essay exploits the expansion of Southwest Airlines to capture potential and actual competition. When incumbent carriers face the risk of entry by Southwest Airlines, price dispersion declines in that route. The effect is driven by a sharp decrease in the 90th percentile of the price distribution, suggesting incumbents' motive…
aggregated CHO: https://circle.library.ubc.ca/rest/handle/2429/85284
note: Essays on Innovation and Industrial EconomicsbyMin Kyeong BaikB.A., Sungkyunkwan University, 2013M.A., Sungkyunkwan University, 2015A THESIS SUBMITTED IN PARTIAL FULFILLMENT OFTHE REQUIREMENTS FOR THE DEGREE OFDOCTOR OF PHILOSOPHYinThe Faculty of Graduate and Postdoctoral Studies(Business Administration - Strategy and Business Economics)THE UNIVERSITY OF BRITISH COLUMBIA(Vancouver)July 2023© Min Kyeong Baik, 2023The following individuals certify that they have read, and recommend to the Faculty ofGraduate and Postdoctoral Studies for acceptance, the thesis entitled:Essays on Innovation and Industrial Economicssubmitted by Min Kyeong Baik in partial fulfillment of the requirements for the degreeof DOCTOR OF PHILOSOPHY in Business Administration - Strategy and BusinessEconomics.Examining Committee:Guillermo Marshall, Associate Professor, Sauder School of Business, UBCSupervisorSanghoon Lee, Associate Professor, Sauder School of Business, UBCSupervisory Committee MemberEkaterina Khmelnitskaya, Assistant Professor, Sauder School of Business, UBCSupervisory Committee MemberThomas Davidoff, Associate Professor, Sauder School of Business, UBCUniversity ExaminerMargaret E. Slade, Professor Emeritus, Vancouver School of Economics, UBCUniversity ExaminerMo Xiao, Professor, Department of Economics, University of ArizonaExternal ExaminerAdditional Supervisory Committee Members:Jorge Lemus, Associate Professor, Department of Economics, University of Illinois atUrbana-ChampaignSupervisory Committee MemberiiAbstractThis thesis is a collection of three empirical studies on competition and innovation. Theessays study how firms respond to competitive shocks in different contexts and understandtheir strategic motives.The first essay examines the impact of mergers on innovation outcomes in the contextof the pharmaceutical industry. By exploiting a novel dataset at the drug-disease level, theessay finds that mergers harm the innovation outcomes of the drug projects acquired inthe deals.…
has type: Thesis/Dissertation
date issued: 2023-11
is shown at: 10.14288/1.0434254
language: eng
degree discipline: Business Administration - Strategy and Business Economics
provider: Vancouver : University of British Columbia Library
publisher: University of British Columbia
rights: Attribution-NonCommercial-NoDerivatives 4.0 International
rights URI: http://creativecommons.org/licenses/by-nc-nd/4.0/
scholar level: Graduate
contributor: Marshall, Guillermo, (Professor)
type: Text
identifier URI: http://hdl.handle.net/2429/85284