Incorporation of sticky information and product diversification into static game of open innovation

Platform economics has promoted open innovation through sufficient channels to reveal and exchange knowledge with experts or valued customers.However,innovation also suffers from information stickiness and product diversification risks.In order to design an innovation strategy on a platform,this study incorporated these risks into game models of open innovation and proposed strategies to promote open innovation and welfare through equilibrium analysis.On the basis of the literature analysis of these risks,stochastic pay-off functions were constructed to regulate and stabilize the knowledge exchange flows.From equilibrium analysis of the game models,we conclude that:1)stickiness and diversification are critical factors for open innovation on a platform;2)at the beginning,a broad search is necessary to acquire diverse knowledge;at the middle stage,regulation of knowledge exchange is critical to achieving equilibrium and higher profits;and 3)global welfare could be elevated through adjustment of knowledge size and friction of communication.

The Impact of High-standard Free Trade Areas on the Diversification of China's Export Products: Expanding Market or Intensifying Competition?

In the context of China's efforts to establish a global network of free trade areas and diversify its export products, this study explores the impact of trade agreement depth on China's export diversification. Building upon a trade model with multiproduct firms, we discover that the effect of trade agreement depth on export diversification is multifaceted, depending on the relative magnitude of the “market expansion effect” and the “competition intensification effect.” Through empirical analysis of China's exports to 132 countries (or regions) from 2000 to 2015, we find that the deepening of trade agreements affected China's export diversification negatively. This negative correlation was predominantly due to the similarity in comparative advantages between China and its trade partners, leading to the “competition intensification effect” overshadowing the “market expansion effect.” We also note that “natural” agreements, when deepened, were more likely to affect China's export diversification adversely than their “non-natural” counterparts. Moreover, as export diversification increased, the marginal impact of deepening trade agreements exhibited an inverted U-shaped trajectory.

The coppice-with-standards silvicultural system as applied to Eucalyptus plantations-a review

We review the management of Eucalyptus species under a coppice-with-standards （CWS） silvicultural system. CWS management results in product diversification, permitting production of small and large scale timber from the same stand. Eucalyptus species are suitable candidates for CWS management because： there are large worldwide plantation areas, sprouting capacity is high, and eucalypts are multipur- pose species. We discuss （1） short rotation Eucalyptus coppice manage- ment for energy and pulping and （2） Eucalyptus seedling management for solid wood products. We review the literature and discuss experi- ences with Eucalyptus managed under the CWS system. We also assess projects dealing with Eucalyptus coppice management, stand density regulation, pruning, and stand and wood quality. The growth environ- ment of the standard trees （heavy competition up to the first harvest, free growth afterwards） coupled with long rotations （〉20 years） results in high quality logs for solid wood products. Early pruning should be ap- plied to enhance wood quality. We propose a system for the silvicultural management of Eucalyptus under the CWS system, elaborating on the consequences of initial planting density, site productivity, and standard tree densities as well as timing of basic silvicultural applications.