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Using neural network to analyze the influence of the patent performance upon the market value of the US pharmaceutical companies

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  • Yu-Shan Chen

    (National Yunlin University of Science & Technology)

  • Ke-Chiun Chang

    (National Yunlin University of Science & Technology)

Abstract

This study applies the artificial neural network technique to explore the influence of quantitative and qualitative patent indicators upon market value of the pharmaceutical companies in US. The results show that Herfindahl-Hirschman Index of patents influences negatively market value of the pharmaceutical companies in US, and their technological independence positively affects their market value. In addition, this study also finds out that patent citations of the American pharmaceutical companies have an inverse U-shaped effect upon their market value.

Suggested Citation

  • Yu-Shan Chen & Ke-Chiun Chang, 2009. "Using neural network to analyze the influence of the patent performance upon the market value of the US pharmaceutical companies," Scientometrics, Springer;Akadémiai Kiadó, vol. 80(3), pages 637-655, September.
    • Handle: RePEc:spr:scient:v:80:y:2009:i:3:d:10.1007_s11192-009-2095-2
    DOI: 10.1007/s11192-009-2095-2
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    Cited by:

    1. Yu-Shan Chen, 2011. "Using patent analysis to explore corporate growth," Scientometrics, Springer;Akadémiai Kiadó, vol. 88(2), pages 433-448, August.
    2. Yu-Shan Chen & Chun-Yu Shih & Ching-Hsun Chang, 2013. "Patents and market value in the U.S. pharmaceutical industry: new evidence from panel threshold regression," Scientometrics, Springer;Akadémiai Kiadó, vol. 97(2), pages 161-176, November.
    3. Yu-Shan Chen & Ke-Chiun Chang, 2012. "Using the entropy-based patent measure to explore the influences of related and unrelated technological diversification upon technological competences and firm performance," Scientometrics, Springer;Akadémiai Kiadó, vol. 90(3), pages 825-841, March.
    4. Zhang, Sifei & Yuan, Chien-Chung & Chang, Ke-Chiun & Ken, Yun, 2012. "Exploring the nonlinear effects of patent H index, patent citations, and essential technological strength on corporate performance by using artificial neural network," Journal of Informetrics, Elsevier, vol. 6(4), pages 485-495.
    5. Ming-Chao Huang & Shih-Chieh Fang & Shao-Chi Chang, 2011. "Tracking R&D behavior: bibliometric analysis of drug patents in the Orange Book," Scientometrics, Springer;Akadémiai Kiadó, vol. 88(3), pages 805-818, September.
    6. Yu-Shan Chen & Yu-Hsien Lin & Tai-Hsi Wu & Shu-Tzu Hung & Pei-Ju Lucy Ting & Chen-Han Hsieh, 2019. "Re-examine the determinants of market value from the perspectives of patent analysis and patent litigation," Scientometrics, Springer;Akadémiai Kiadó, vol. 120(1), pages 1-17, July.
    7. Yu-Shan Chen & Chun-Yu Shih & Ching-Hsun Chang, 2014. "Explore the new relationship between patents and market value: a panel smooth transition regression (PSTR) approach," Scientometrics, Springer;Akadémiai Kiadó, vol. 98(2), pages 1145-1159, February.
    8. Yu-Shan Chen & Chun-Yu Shih & Ching-Hsun Chang, 2012. "The effects of related and unrelated technological diversification on innovation performance and corporate growth in the Taiwan’s semiconductor industry," Scientometrics, Springer;Akadémiai Kiadó, vol. 92(1), pages 117-134, July.
    9. Yu-Shan Chen & Chun-Yu Shih, 2011. "Re-examine the relationship between patents and Tobin’s q," Scientometrics, Springer;Akadémiai Kiadó, vol. 89(3), pages 781-794, December.

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