As it relates to R&D, the imitation problem is that
A) patents, copyrights, and trademarks hinder imitation and thus limit economically desirable diffusion.
B) brand names create entry barriers for would-be competitors.
C) diffusion of innovation occurs more slowly than is desirable from society's perspective.
D) a firm's rivals may be able to copy its new product or process innovation, reducing the original firm's return on R&D.

Question

Quizplus · Accepted Answer

The imitation problem in R&D refers to the ability of a firm's rivals to copy its new product or process innovation, which can reduce the original firm's return on R&D investment. This can create a disincentive for firms to invest in R&D, as the benefits of innovation may not be fully captured by the innovator. Other options are not directly related to the imitation problem in R&D.

As It Relates to R&D, the Imitation Problem Is That