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The nonlinear nature of the relationships between the patent traits and corporate performance

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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 utilizes neural network to explore the nonlinear relationships between corporate performance and the patent traits measured from Herfindahl-Hirschman Index of patents (HHI of patents), patent citations, and relative patent position in the most important technological field (RPPMIT) in the US pharmaceutical industry. The results show that HHI of patents and RPPMIT have nonlinearly and monotonically positive influences upon corporate performance, while the influence of patent citations is nonlinearly U-shaped. Therefore, pharmaceutical companies should raise the degrees of the leading position in their most important technological fields and the centralization of their technological capabilities to enhance corporate performance.

Suggested Citation

  • Yu-Shan Chen & Ke-Chiun Chang, 2010. "The nonlinear nature of the relationships between the patent traits and corporate performance," Scientometrics, Springer;Akadémiai Kiadó, vol. 82(1), pages 201-210, January.
    • Handle: RePEc:spr:scient:v:82:y:2010:i:1:d:10.1007_s11192-009-0101-3
    DOI: 10.1007/s11192-009-0101-3
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    Cited by:

    1. JinHyo Joseph Yun & EuiSeob Jeong & ChangHwan Lee & JinSeu Park & Xiaofei Zhao, 2017. "Effect of Distance on Open Innovation: Differences among Institutions According to Patent Citation and Reference," Sustainability, MDPI, vol. 9(8), pages 1-15, August.
    2. 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.
    3. 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.
    4. Shu-Hao Chang, 2017. "The evolutionary growth estimation model of international cooperative patent networks," Scientometrics, Springer;Akadémiai Kiadó, vol. 112(2), pages 711-729, August.
    5. Jinhyo Joseph Yun & EuiSeob Jeong & YoungKyu Lee & KyungHun Kim, 2018. "The Effect of Open Innovation on Technology Value and Technology Transfer: A Comparative Analysis of the Automotive, Robotics, and Aviation Industries of Korea," Sustainability, MDPI, vol. 10(7), pages 1-16, July.

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