Studies on Firm's Choice of Foreign Market Entry Modes and R&D Investments and the Second-best Agreements on International Trade and Investment

2018 Fiscal Year Final Research Report

• Project/Area Number: 15K03488
• Research Category: Grant-in-Aid for Scientific Research (C)
• Allocation Type: Multi-year Fund
• Section: 一般
• Research Field: Economic policy
• Research Institution: Kansai University
• Principal Investigator: SUGETA HAJIME 関西大学, 経済学部, 教授 (90330167)
• Co-Investigator(Kenkyū-buntansha): 石井 光 関西大学, 経済学部, 教授 (00405630)
• Project Period (FY): 2015-04-01 – 2019-03-31
• Keywords: 貿易自由化 / 直接投資自由化 / 企業の異質性 / 内生的研究・開発投資 / 国際寡占

Outline of Final Research Achievements

We set up a two-country international trade model of oligopoly with two home firms and one foreign firm, in which the three firms play the following three-stage game. In stage 1, the two home firms decide to enter the foreign market through either exporting or undertaking foreign direct investment (FDI), i.e., building up a subsidiary to serve the foreign market. In stage 2, the two home firms decide to choose the level of a cost-reducing R&D investment. In stage 3, the home firms and the foreign firm decide to choose the amounts of output sales in both the home and the foreign markets in a Cournot manner. We derived the subgame perfect equilibrium of this three-stage game and theoretically explored the welfare effects of trade and FDI liberalization on the home and the foreign countries.

Free Research Field

国際経済学

Academic Significance and Societal Importance of the Research Achievements

本研究では、自国企業間で費用構造と参入形態において異質性が内生的に生じる。つまり、輸出企業はR＆D投資水準が非常に低く高費用となり、他方、FDI企業はR&D投資水準が非常に高く低費用となる。Melitz (2003)等の従来の戦略的相互依存関係のない異質企業間の独占的競争の貿易・投資モデルと異なり、企業の戦略的行動を伴う国際寡占モデルにおいて企業の異質性の内生的に説明した点が本研究の貢献である。そして貿易・投資の自由化の経済厚生効果について企業の外国市場への参入形態および費用構造の両方における異質性が自国にマイナス、外国にはプラスの影響をもたらすことを示した。