@inproceedings{e87fcd405a00428fab8bdf8e00b00b6e,
title = "Alliances, R\&D and profitability of software firms",
abstract = "Like all digital products, software is fungible, has low marginal replication costs, and has a relatively high fixed cost of initial investment in development. As larger segments of economic goods become digitized, it is important to understand how software-producing firms can protect and leverage value from their R\&D investments. We consider alliances as a mechanism for protecting and leveraging value from R\&D investments in the software context. We use a panel of data on 464 firms in the software (IT-producing) industries, spanning the 14 year period from 1996 to 2009. We examine the economic returns to R\&D as software firms form alliances with other IT-producing firms as well as with IT-consuming firms, i.e., firms in all other industries. Our findings yield insights into how IT-producing firms should position themselves within a network, through alliances with potential rivals (i.e., other IT-producing firms) or with potential clients (i.e., IT-consuming firms).",
keywords = "Alliances, Economic impacts, Innovation, Network, Software",
author = "Ali Tafti and Vishal Sachdev and Sunil Mithas and Lauren Mallik",
year = "2015",
language = "English (US)",
isbn = "9780996683111",
series = "2015 International Conference on Information Systems: Exploring the Information Frontier, ICIS 2015",
publisher = "Association for Information Systems",
booktitle = "2015 International Conference on Information Systems",
note = "2015 International Conference on Information Systems: Exploring the Information Frontier, ICIS 2015 ; Conference date: 13-12-2015 Through 16-12-2015",
}