Which subfield to enter first?: The role of a firm's pre-entry experiences

In this study, we draw from the organizational experience and market entry literature and investigate if a firm's pre-entry experiences predict which subfield to enter first. We employ a unique data set from the biotechnology industry where two distinct subfields emerged around the same time due to a revolutionary discovery. Among the firms that entered one of the two emerging subfields, we examine the relationship between pre-entry experiences and which subfield a firm enters. Our key finding is that general experience rather than specialized experience increases the likelihood of a firm entering first the subfield with higher level of uncertainty as opposed to the subfield with lower level of uncertainty.     

生物技术在乳制品加工中的应用

随着社会的发展,人们的生活质量显著提高,逐渐增加了对乳制品的需求,在科技水平迅猛发展的影响下,出现了多种形式的乳制品加工工艺。然而,由于近年来乳制品安全事故频发,人们提高了对乳制品生产加工的关注度。因此,笔者认为对乳制品加工工艺进行研究十分必要,只有在质量得到保证的前提下,人们才能饮用到安全的乳制品。本文围绕生物技术在生产加工乳制品过程中发挥的作用进行分析,并指出一些注意事项。     

The estimated ex ante economic impact of Bt cowpea in Niger,Benin and Northern Nigeria

Genetically modified (GM) crops could increase economic growth and enhance living standards in Africa, but political issues have slowed the use of biotechnology. This is the first study that assesses the potential impact of GM crops in Africa while considering the preferences of producers and consumers towards GMOs as well as the income and price risks they face. The study uses a choice experiment to estimate the ex ante economic impact of a novel technology, Bacillus thuringiensis (Bt) cowpea, on producers and consumers in Benin, Niger and northern Nigeria. The experiment involves the simulation of a market transaction similar to those in open air markets in West Africa. During the market simulation, respondents are informed about the advantages and disadvantages, including health risks, of Bt cowpea. The results from the study suggest that cowpea growers and consumers in Benin and northern Nigeria prefer Bt to conventional cowpea for health safety reasons. The results estimate that social welfare in Benin, Niger and northern Nigeria would increase by at least US$11.82 per capita annually with Bt cowpea, if seed sectors are operating smoothly. With inefficiencies in seed sectors and the potential for cowpea acreage increase, the estimated social welfare increase in the region would be about US$1.26 per capita annually.     

Performance differentials within geographic clusters

Increasing evidence indicates that firms benefit from a location in a geographic cluster of similar firms. The literature is nearly silent, however, on whether agglomeration economies accrue symmetrically across clustered firms. Drawing from the knowledge-based view, we investigate which firms benefit most from agglomeration and discuss how the implications for entrepreneurs are significant if some firms benefit more from geographic agglomeration than others. We investigate three particular firm attributes that may accentuate or mitigate benefits tied to participation in a cluster. We test our hypotheses on a sample of biotechnology firms and find strong evidence that firms benefit asymmetrically. Younger firms and firms with higher knowledge stocks benefit more from agglomeration.     

Protecting Biotechnology IPRs in Developing Countries: Simple Analytics of a Levy Solution

High transaction costs and an absence of institutional infrastructure in developing countries prevent comprehensive enforcement of intellectual property rights and generate obstacles to the adoption of genetically modified (GM) crop technology. Governments of developing countries that are members of the World Trade Organization are faced with two options when licensing GM crop technology: (1) attempt to regulate GM crops to the standards of the Agreement on Trade‐Related Aspects of Intellectual Property (TRIPS) or (2) allow a black market in GM seeds and risk trade retaliation from the GM innovator's host country through a TRIPS trade complaint. This paper develops a conceptual model that frames the adopting country's range of licensing options, including a new levy system, and derives welfare measures for each option. The model illustrates how a levy on GM technology can be a welfare‐increasing policy for developing countries, and the operation of a levy is discussed. The conceptual model is applied to Brazil's soybean market and quantitative economic surplus measures are estimated within a calibrated welfare model for a range of licensing scenarios. The model's results suggest that a levy may interfere with the long‐term prospects for innovators to collect monopoly rents in adopting countries.     

FDA’s regulation of genetically engineered foods: Scientific, legal and political dimensions

The controversy over genetically engineered (GE) food during the southern Africa drought in 2002/03 raised questions concerning the safety of GE foods and the basis for the safety assurances issued by national and international agencies. In the case of foods grown in the US, these assurances must be interpreted in relation to the Food and Drug Administration’s (FDA) 1992 policy, which remains in effect today. This paper provides a detailed examination of the roles of scientific, legal and political considerations in the development of that policy.This paper reveals that the FDA responded to political pressure for a permissive regulatory approach by exploiting gaps in scientific knowledge, creatively interpreting existing food law and limiting public involvement in the policy’s development. Common statements by the government and other proponents concerning sound science, rigorous testing, no evidence of harm and “as safe as conventional foods” are found to be misleading unless the scientific, legal and political basis for the US policy is taken into account.While this paper finds that the evidence for the safety of GE foods has been exaggerated by government agencies and other parties, nothing in this paper suggests that GE foods currently on the market are harmful to human health. To the contrary, the situation is one of great uncertainty. Repeated recommendations that this issue be the topic of a major public research effort have yet to be acted upon.     

GUEST EDITORIAL: Cutting corners in chemical risk limitation

The first genetically modified crops and foods to be approved for commercial use in the European Union have prompted intense controversy. Food retailers and processors have been forced to take up the concerns voiced by their customers. New networks of groups have formed to oppose the technology. In response to these pressures, regulators who approved the products have had to reconsider questions they had previously dismissed or officially resolved. Governments have devised more precautionary measures of various kinds. For example, they have increased the burden of evidence for demonstrating safety, have broadened the practical definition of the ‘adverse effects’ which must be prevented, and have devised marketstage precautions for such effects. These extra measures manage the risk debate as well as any risks. In such ways, the technocratic model of European harmonization is being challenged and superseded. This may allow differences in national practices to be viewed as valuable expert resources for a different harmonization model, rather than as deviations from a universal rational norm. Regulatory conflicts offer precautionary opportunities, which could lead to more flexible and democratic procedures. Theoretical perspectives – on risk, uncertainty, precaution, European integration, expertise and the internal market – help illuminate these possibilities.     

Research Note: Adolescents' perceptions of food chemical risks

A questionnaire measuring attitude towards four categories of food chemicals (colourings, flavourings, pesticides and fertilizers), level of concern for the environment, dietary habits and reasons for food choice was administered to 932 high school students aged 12-15 years during regular classroom periods. Students also indicated whether they could recall classroom teaching on 15 food and health related issues. Scores were derived representing self-reported frequency of eating (a) foods that were high in fat, or (b) fresh fruits and vegetables. Along with a measure of environmental concern, these were entered as covariates in the analysis of attitudes towards the different classes of additives. Age and gender had little effect on these attitudes. However, more positive attitudes towards both colourings and flavourings were associated with more frequent consumption of 'fat' foods and less frequent consumption of 'fresh' foods. Those with higher 'fat' diets also evaluated the use of pesticides more positively, whereas those expressing greater environmental concern were more opposed to flavourings, fertilizers and (marginally) pesticides. With regard to reasons for food choice, those with higher 'fat' and lower 'fresh' diets appeared to place more weight on pleasure than on nutritional information, whereas those higher on environmental concern paid more attention to labelling and food value. Older students were more able to choose their own diet, but attended less to the health value of the foods they chose, and expressed less trust in food labelling and government control. These findings suggest that judgements of risk are guided by evaluative associations, derived partly from more general attitudes and previous behaviour.     

Perception of gene technology,and food risks: results of a survey in Switzerland

Perceptions of and attitudes toward genetically engineered food and other food hazards were examined through data from telephone interviews conducted in Switzerland. A random quota sample was used ( N v = v 1001). General attitudes toward technology and political beliefs significantly influenced perceptions of gene technology. Women were more concerned about gene technology and food risks than men were. The term 'gene technology' evoked neutral or negative associations in most people; few people held positive images regarding this technology. Perception and acceptance of gene technology varied according to the type of application; people were less concerned about convenience or processed food. Although it is mandatory to label genetically modified food in Switzerland, relatively few people were familiar with this label. Participants assessed various food risks, and principal components analysis indicated that they distinguished between technological and natural food risks. Implications of these results are discussed.