Import Tariff,Spatial Competition And The Choice Of Optimal Licensing Modes And Durable Licensing

Transnational technology licensing has an extensive practical background,such as IBM,Microsoft,Nokia and other companies,who would get the technology licensing revenue through cross-border technology licensing,or maintain its technological advantage.For China,it is an important way to enhance its' innovation capability.Because of the complexity and the demand in reality,specifically the mechanism of transnational licensing,the licensing condition and the choice of licensing modes would play an important role in industrial regulation,which causes a significant impact on the traditional theory of licensing.Now,many researches examining the choice of optimal licensing modes based on the perspective of free trade and non-free trade,and taking into account the impact of technology licensing market performance resulting behavior.However,they didn't give an adequate explanation of the role of tariff which plays an important role in licensing.At the same time,multinational study of existing technology licensing ignores durable licensing and the spatial structure on choice of the licensing modes.On the one hand,since most technology companies to accept technology licensing aimed at learning,absorption and re-innovation,which forms technology leakage and undermined the profits of licensor.So licensor also choose licensing contract between long and short contract to avoid the formation of a threat.On the other hand,licensor and licensee always distributed in a certain market space structure,which may different in consumer markets.Because of the effect of transport costs,licensor would also choose the different licensing modes.This paper considers the tariff policy of the host country,introducing the spatial structure and the durable licensing.By building a game between licensor and licensee,we want to disclosed the licensing mechanism,and give out the conditions of export of technology and technology import.Our results would give a theoretical support for China's technology exports and technology import.This study is divided into eight parts,namely,the introduction,the literature review,optimal licensing modes under the condition of non-spatial structure,optimal licensing modes under the condition of spatial and short term structure,optimal licensing modes under the condition of spatial and long term structure,the case studies,and the last part is conclusions.Studies show that:(1)The introduce of tariff would have an influence on the choice of the licensing modes.Fixed-fee may have a different effect on the profit of foreign licensor which is concerned to the degree of technological innovation,the level of the tariff while may harm the host country's social welfare.Royalty always promoted licensor's profits but might harm the host society welfare.Two-part tariff achieves the corporate profits and social welfare at the same time improved.(2)The introduction of the spatial structure has an impact on the behavior of licensor.Short-term fixed fee,short-term two-part tariff,long-term fixed fee,long-term two-part tariff can improve profits and social welfare of the host country.However,royalty might damage the profits of licensor and undermine the host social welfare.Long-term royalty will enhance the profits of foreign technology owners,but does not achieve to improve the social welfare of the host country.(3)Foreign licensor prefer to the long-term two-part licensing contract.And for the host government,whether it chooses the long-term fixed fee or short-term fixed fee may be influenced by the licensing degree.