Accelerability vs. Scalability: R&D Investment Under Financial Constraints and Competition

This paper is based on two chapters of my doctoral dissertation at the University of Maryland. I am deeply grateful to my committee members Richmond Mathews, Mark Loewenstein, Pete Kyle, and Liu Yang for valuable advice and continual encouragement. The paper has benefited greatly by the comments from the anonymous referee, anonymous associate editor, department editor (Gustavo Manso) of Management Science, as well as discussions with Laurent Frésard, Daniel Vincent, Nagpurnanand Prabhala, Gerard Hoberg, Vojislav Maksimovic, Wei Li, Wen Chen, Cecilia Bustamante, Julien Cujean, Rajshree Agarwal, Brent Goldfarb, Kebin Ma, Lailai Zhu, Katie Moon, Neng Wang, Graeme Guthrie, Andrea Gamba, Elizabeth A.Whalley, Shrihari Santosh, Christopher Mace, Ayako Yasuda, Kose John, John Thanassoulis, Erwan Morellec, Jonathan Berk, Vladimir Vladimirov, Stefano Rossi, Jean-Charles Rochet, Tanju Yorulmazer, Hui Chen, Jian Feng, and seminar participants at numerous institutions and conferences.