Project Selection, Commercial Risks, and the Allocation to Small Business of Federal Research and Development Contracts
The previous chapter was concerned with the nature, organization, and technical outcome of industrial research and development. In this chapter, we continue to focus on industrial research and development, but our attention shifts to different, though related, aspects of this topic. Specifically, we are interested in the extent to which firms are using various quantitative techniques to select R and D projects. These techniques have been the object of considerable investigation by operations researchers and management scientists. Also, we are interested in the extent of the commercial risks—as distinct from technical risks—involved in research and development. The previous chapter dealt only with technical risks.
KeywordsSmall Business Small Firm Large Firm Average Cost Quantitative Technique
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- 1.For descriptions of each kind of technique, see N. Baker and W. Pound, “R and D Project Selection: Where We Stand,” IEEE Transactions in Engineering Management (June 1964);Google Scholar
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