Patent Policies of Small Danish Firms in Three Industries

Lee Davis

Chapter 13 in Contemporary Management of Innovation, 2006, pp 248-263 from Palgrave Macmillan

Abstract: Abstract Empirical surveys of the economic effects of patents have uncovered striking industry differences in patent effectiveness and importance (e.g., Cohen et al.. 2000; Harabi, 1995; Bertin & Wyatt, 1988; Levin et al., 1987). Other studies have focused specifically on the role of patents in high-tech sectors. In telecommunications, for example, firms typically cross-license their inventions, using patents as a kind of bargaining tool or trading currency to secure appropriability (e.g., Grindley & Teece, 1997; Hall & Ham, 1999). The software industry is interesting because the nature of digital technology renders appropriability difficult (e.g., Conner & Rumelt, 1991; Davis, 2002; Shapiro & Varian, 1999). Initially, copyrights were used to protect software innovations; only since the 1980s has it been possible to patent them. In pharmaceuticals, chemicals, and biotechnology, by contrast, patents are widely recognized as both important and effective in securing appropriability (e.g., Arora, 1997; Liebeskind et al., 1996; Merges & Nelson, 1994).

Keywords: Intellectual Property; Small Firm; Large Firm; Patent Protection; Patent System (search for similar items in EconPapers)
Date: 2006
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DOI: 10.1057/9780230378841_17

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