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Foreign actors and intellectual property protection regulations in developing countries

Kristin Brandl, Izzet Darendeli and Ram Mudambi ()
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Kristin Brandl: University of Victoria
Izzet Darendeli: California State University – East Bay

Journal of International Business Studies, 2019, vol. 50, issue 5, No 8, 826-846

Abstract: Abstract International agreements and institutions affect innovation in developing countries. We analyze the impact of advanced country multinational enterprises (AMNEs) and supranational organizations on the regulatory adoption of global intellectual property protection standards. In particular, we investigate 60 developing countries that signed the Trade-relate Aspects of Intellectual Property Rights (TRIPS) agreement of the World Trade Organization in 1994. Our empirical findings show that a greater involvement of AMNEs in the domestic innovation systems of developing countries results in more stringent TRIPS adoption and convergence to advanced country IP protection standards. This relationship is positively moderated by country dependency on supranational organizations such as the International Monetary Fund. This analysis contributes to the literature on institutional change and institutional voids. It provides insights into the influence of external actors on the underlying change processes.

Keywords: intellectual property protection; innovation system; institutional change theory; institutional voids; developing countries (search for similar items in EconPapers)
Date: 2019
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DOI: 10.1057/s41267-018-0172-6

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