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TECHNOLOGY SHOPS: EFFICIENT PRICING IN BUSINESS-UNIVERSITY COLLABORATIONS

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Recently, business-university collaborations have become the subject of much interest. It is important to distinguish between 'blue-sky' research and more directly commercially applicable research. This paper provides a framework in which to think about the latter. A simple screening model is proposed to study the ways in which a university might sell its research to the private sector. It demonstrates that 'technology shops', where firms pay a fixed fee to join and a relatively low marginal cost for each piece of research, would increase the amount of research commercially developed and would be beneficial to all parties.
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Keywords: Business-university collaboration; Screening; Technology shops

Document Type: Research Article

Affiliations: Department of Economics, Manor Road, Oxford University, Oxford, UK

Publication date: 2007-01-01

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