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Contractual implications of international trade in tacit knowledge

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  • Pedro Mendi

Abstract

This article searches for evidence on the additional difficulty the parties have in contracting for the transfer of know-how relative to the transfer of patented technology. A sample of contracts for the acquisition of technology Spanish firms in 1991 is analysed to find a positive relationship between contract duration and the likelihood of transferring know-how in unaffiliated transfers. It is also found that technical assistance is bundled together with the transfer of know-how, suggesting that the parties try to mitigate opportunistic behaviour on the licensor's side.

Suggested Citation

  • Pedro Mendi, 2007. "Contractual implications of international trade in tacit knowledge," Applied Economics, Taylor & Francis Journals, vol. 39(9), pages 1173-1183.
    • Handle: RePEc:taf:applec:v:39:y:2007:i:9:p:1173-1183
    DOI: 10.1080/00036840600592817
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    References listed on IDEAS

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    Cited by:

    1. Mendi, Pedro & Moner-Colonques, Rafael & Sempere-Monerris, José J., 2020. "Cooperation for innovation and technology licensing: Empirical evidence from Spain," Technological Forecasting and Social Change, Elsevier, vol. 154(C).
    2. Catalina Martinez & Pluvia Zuniga, 2017. "Contracting for technology transfer: patent licensing and know-how in Brazil," Industry and Innovation, Taylor & Francis Journals, vol. 24(6), pages 659-689, August.
    3. Chung, Moon Young & Lee, Keun, 2015. "How Absorptive Capacity is Formed in a Latecomer Economy: Different Roles of Foreign Patent and Know-how Licensing in Korea," World Development, Elsevier, vol. 66(C), pages 678-694.

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    More about this item

    JEL classification:

    • O33 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Technological Change: Choices and Consequences; Diffusion Processes
    • K12 - Law and Economics - - Basic Areas of Law - - - Contract Law

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