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Antecedents of patent value using exchange option models: Evidence from a panel data analysis

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  • Wu, Ming-Cheng

Abstract

This paper examines the patent impact factor by an empirical study using panel data. To investigate the impact factor of patent value, this study conducts a sensitivity analysis of a patent evaluation model within the framework of a real option, while considering the uncertainties associated with both patent counts and the amount of R&D per patent, and develops an empirical analysis method for examining the impact factor of a patent using an unbalanced two-way fixed effects model. The empirical results indicate that the increase of patent value accords with the increase in the patent counts, volatility and patent lifetime. Although patent value declines with the amount of R&D per patent, the impact is not significant. However, reducing cost, raising patent counts and enhancing innovation efficiency offer a feasible method for a firm to increase patent value.

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  • Wu, Ming-Cheng, 2011. "Antecedents of patent value using exchange option models: Evidence from a panel data analysis," Journal of Business Research, Elsevier, vol. 64(1), pages 81-86, January.
    • Handle: RePEc:eee:jbrese:v:64:y:2011:i:1:p:81-86
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    5. Kristie Briggs & Mary Wade, 2014. "More is better: evidence that joint patenting leads to quality innovation," Applied Economics, Taylor & Francis Journals, vol. 46(35), pages 4370-4379, December.

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