Research on Members' Investment Polices in Parallel R&D Alliances with Input Spillovers

In this research,the investment polices of parallel RD alliance members with input spillovers under equal and proportional profit sharing arrangement was studied,and the impact of profit sharing arrangement and input spillovers on members ' investment polices was analyzed.It was shown that parallel RD alliances should share profit equally to make a success in cooperative RD,as members ' expected investment is the same when the rate of return to investment is high;input spillovers can promote members ' expected investment,so members should be encouraged to make their RD investment spillovers to each other to obtain more partner 's investment so that the probability of success in cooperative RD will be greater.