
Killer Acquisitions - mariushn
https://papers.ssrn.com/sol3/papers.cfm?abstract_id=3241707
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mariushn
Quoting an author: In our "Killer Acquisitions" paper we document the same
effect in pharmaceuticals where dominant incumbents acquire small
entrepreneurial startups and then kill the innovation because it would
otherwise cannibalize the profits of their own existing drugs.

There are also other papers that show that increasing concentration is
terrible for innovation in pharma
([https://econpapers.repec.org/article/eeeindorg/v_3a63_3ay_3a...](https://econpapers.repec.org/article/eeeindorg/v_3a63_3ay_3a2019_3ai_3ac_3ap_3a283-325.htm)):
horizontal mergers not only decrease the innovation intensity of the merging
parties, but even the incentive to innovate of other competitors.

