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Strategic Patent Breadth For Drastic Product Innovations

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  • Yiannaka, Amalia
  • Fulton, Murray E.

Abstract

The paper models the patenting behavior of the innovator/patent applicant who having invented a drastic product innovation decides on the optimal breadth of protection claimed. The patenting process is modeled as a sequential game of complete information. The patentee acts strategically and with foresight. He chooses the breadth of protection that induces the desired behavior by his opponents and he incorporates transaction costs that may have to be incurred to enforce his patent rights. Our results suggest that contrary to what is traditionally assumed it is not generally optimal for the patentee to claim the broadest protection possible.

Suggested Citation

  • Yiannaka, Amalia & Fulton, Murray E., 2001. "Strategic Patent Breadth For Drastic Product Innovations," 2001 Annual meeting, August 5-8, Chicago, IL 20500, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    • Handle: RePEc:ags:aaea01:20500
    DOI: 10.22004/ag.econ.20500
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    References listed on IDEAS

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    Cited by:

    1. Ivan Lugovoi & Dimitrios A. Andritsos & Claire Senot, 2022. "Novelty and scope of process innovation: The role of related and unrelated manufacturing experience," Production and Operations Management, Production and Operations Management Society, vol. 31(10), pages 3877-3895, October.

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