R&D Collaboration with Uncertain Intellectual Property Rights

R&D Collaboration with Uncertain Intellectual Property Rights Patent pendencies create uncertainty in research and development (R&D) collaboration, which can result in a threat of expropriation of unprotected knowledge, reduced bargaining power and enhanced search costs. We show that—depending of the type of collaboration partner and the size of the company—uncertain intellectual property rights (IPRs) lead to reduced collaboration between firms and can, hence, hinder knowledge production. This has implications for technology policy as R&D collaborations are exempt from antitrust legislation in order to increase R&D in the economy. We argue that a functional IPR system is needed for successful utilization of this policy. http://www.deepdyve.com/assets/images/DeepDyve-Logo-lg.png Review of Industrial Organization Springer Journals

R&D Collaboration with Uncertain Intellectual Property Rights

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Publisher
Springer US
Copyright
Copyright © 2015 by Springer Science+Business Media New York
Subject
Economics / Management Science; Industrial Organization; Microeconomics
ISSN
0889-938X
eISSN
1573-7160
D.O.I.
10.1007/s11151-015-9449-0
Publisher site
See Article on Publisher Site

Abstract

Patent pendencies create uncertainty in research and development (R&D) collaboration, which can result in a threat of expropriation of unprotected knowledge, reduced bargaining power and enhanced search costs. We show that—depending of the type of collaboration partner and the size of the company—uncertain intellectual property rights (IPRs) lead to reduced collaboration between firms and can, hence, hinder knowledge production. This has implications for technology policy as R&D collaborations are exempt from antitrust legislation in order to increase R&D in the economy. We argue that a functional IPR system is needed for successful utilization of this policy.

Journal

Review of Industrial OrganizationSpringer Journals

Published: Jan 21, 2015

References

  • Noncooperative versus cooperative R&D with endogenous spillover rates
    Amir, R; Evstigneev, I
  • Motives to patent: Empirical evidence from Germany
    Blind, K; Edler, J; Frietsch, R; Schmoch, U
  • R&D cooperation and spillovers: Some empirical evidence from Belgium
    Cassiman, B; Veugelers, R
  • Extent and evolution of the productivity deficiency in eastern Germany
    Czarnitzki, D
  • R&D and firm performance in a transition economy
    Czarnitzki, D; Kraft, K

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