Stock Market Reaction to Patent Value in Japan: an Event Study Analysis

Nahoko Mitsuyama
Additional contact information
Nahoko Mitsuyama: Graduate School of Asia Pacific Studies, Waseda University

Journal of Knowledge Management, Economics and Information Technology, 2013, vol. 3, issue 6, 12

Abstract: The patent is regarded as an indicator of a firm’s innovativeness and many studies have tried to use it as a proxy for the same. However, little research focuses on the impact of the substantial value of patents on stock prices. This study employs event study analysis to explore the stock market reaction to the announcement of the “Patent Value Brand” by the Tokyo Stock Exchange and the “YK Value,” which is used to measure the economic value of a patent during the selection process. Our finding reveals little evidence for positive and significant stock price reactions to the brand announcement around the event day. In addition, the result is not altered in terms of cumulative abnormal returns over a longer term. We conclude that the stock market did not respond to the announcement of the Patent Value Brand and the substantial value of patents which is represented by the YK Value. Journal: Journal of Knowledge Management, Economics and Information Technology

JEL-codes: G14 O34 (search for similar items in EconPapers)
Date: 2013
References: View references in EconPapers View complete reference list from CitEc
Citations:

Downloads: (external link)
http://www.scientificpapers.org/download/292/ (application/pdf)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:spp:jkmeit:1427

Access Statistics for this article

More articles in Journal of Knowledge Management, Economics and Information Technology from ScientificPapers.org
Bibliographic data for series maintained by Adrian Ghencea ().