This file is part of IDEAS, which uses RePEc data


[ Papers | Articles | Software | Books | Chapters | Authors | Institutions | JEL Classification | NEP reports | Search | New papers by email | Author registration | Rankings | Volunteers | FAQ | Blog | Help! ]

Patent Citations Indicating Present Value Of The Biotechnology Business

Author info | Abstract | Publisher info | Download info | Related research | Statistics
Author Info
TUOMO NIKULAINEN (ETLA, the Research Institute of the Finnish Economy, Helsinki, Finland)
RAINE HERMANS (ETLA, the Research Institute of the Finnish Economy, Helsinki, Finland; Kellogg School of Management, Northwestern University, IL, USA)
MARTTI KULVIK (ETLA, the Research Institute of the Finnish Economy, Helsinki, Finland; Department of Neurology, HUCH Helsinki University Central Hospital, Helsinki, Finland)

Additional information is available for the following registered author(s):

Abstract

In this paper our aim is to assess the potential of using patent statistics in predicting the future sales anticipations and present value of a company active in the science-based industry. Instead of using conventional patent and patent application counts as indicators, we constructed patent citation weighted portfolios for each company. This way the heterogeneity of patents can be taken into account. Our data covers biotechnology patents held by Finnish biotechnology companies. Empirical results imply that particularly backward citations are related to present value estimations of the companies. In contrast to some previous studies, forward citations do not seem to predict the present value estimations. The findings provide some important implications on interpreting the significance of patent citations regarding valuation of science-based companies, and planning technology and innovation policies.

Download Info
To download:

If you experience problems downloading a file, check if you have the proper application to view it first. Information about this may be contained in the File-Format links below. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.

File URL: http://www.worldscinet.com/cgi-bin/details.cgi?type=pdf&id=pii:S0219877008001436
File Format: application/pdf
File Function:
Download Restriction: Access to full text is restricted to subscribers.
File URL: http://www.worldscinet.com/cgi-bin/details.cgi?type=html&id=pii:S0219877008001436
File Format: text/html
File Function:
Download Restriction: Access to full text is restricted to subscribers.

As the access to this document is restricted, you may want to look for a different version under "Related research" (further below) or search for a different version of it.

Publisher Info
Article provided by World Scientific Publishing Co. Pte. Ltd. in its journal International Journal of Innovation and Technology Management.

Volume (Year): 05 (2008)
Issue (Month): 03 ()
Pages: 279-301
Download reference. The following formats are available: HTML (with abstract), plain text (with abstract), BibTeX, RIS (EndNote, RefMan, ProCite), ReDIF
Handle: RePEc:wsi:ijitmx:v:05:y:2008:i:03:p:279-301

Contact details of provider:
Web page: http://www.worldscinet.com/ijitm/ijitm.shtml

Order Information:
Email:

For technical questions regarding this item, or to correct its listing, contact: (Tai Tone Lim).

Related research
Keywords: Biotechnology; patent citations; patents; valuation; JEL Classification: O30; JEL Classification: M21; JEL Classification: L25;

Other versions of this item:

References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
  1. Lanjouw, Jean O & Schankerman, Mark, 2001. "Characteristics of Patent Litigation: A Window on Competition," RAND Journal of Economics, The RAND Corporation, vol. 32(1), pages 129-51, Spring.
  2. Ari Hyytinen & Mika Maliranta, 2006. "When Do Employees Leave Their Job for Entrepreneurship: Evidence from Linked Employer-Employee Data," Discussion Papers 1023, The Research Institute of the Finnish Economy. [Downloadable!]
  3. Bronwyn H. Hall & Adam Jaffe & Manuel Trajtenberg, 2005. "Market Value and Patent Citations," RAND Journal of Economics, The RAND Corporation, vol. 36(1), pages 16-38, Spring.
  4. Hannu Piekkola, 2006. "Are Individuals Who Have Non-Work Activities Prone to Retire Earlies: Evidence from Time Use Survey of Older Finns," Discussion Papers 1036, The Research Institute of the Finnish Economy. [Downloadable!]
  5. Raimo Lovio & Jari Jääskeläinen & Juha Laurila & Kari Lilja, 2006. "Globalisaatio Suomen vanhojen teollisuuspaikkakuntien kehityksen muovaajana - Tapaustutkimus Varkauden kaupungista," Discussion Papers 1035, The Research Institute of the Finnish Economy. [Downloadable!]
  6. Terttu Luukkonen & Mari Maunula, 2006. "`Coaching´ Small Biotech Companies into Success: The Value-adding Function of VC," Discussion Papers 1032, The Research Institute of the Finnish Economy. [Downloadable!]
  7. Laura Valkonen, 2006. "Perhevapaiden vaikutukset naisten ura- ja palkkakehitykseen - kirjallisuuskatsaus," Discussion Papers 1033, The Research Institute of the Finnish Economy. [Downloadable!]
  8. Reitzig, Markus, 2004. "Improving patent valuations for management purposes--validating new indicators by analyzing application rationales," Research Policy, Elsevier, vol. 33(6-7), pages 939-957, September. [Downloadable!] (restricted)
  9. Wesley M. Cohen & Richard R. Nelson & John P. Walsh, 2000. "Protecting Their Intellectual Assets: Appropriability Conditions and Why U.S. Manufacturing Firms Patent (or Not)," NBER Working Papers 7552, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
    Other versions:
  10. Maria Luisa Mancusi, 2003. "Geographical Concentration And The Dynamics Of Countries' Specialization In Technologies," Economics of Innovation and New Technology, Taylor and Francis Journals, vol. 12(3), pages 269-291, January. [Downloadable!] (restricted)
    Other versions:
  11. Jyrki Ali-Yrkkö & Mika Maliranta, 2006. "Impact of R&D on Productivity - Firm-level Evidence from Finland," Discussion Papers 1031, The Research Institute of the Finnish Economy. [Downloadable!]
  12. Narin, Francis & Noma, Elliot & Perry, Ross, 1987. "Patents as indicators of corporate technological strength," Research Policy, Elsevier, vol. 16(2-4), pages 143-155, August. [Downloadable!] (restricted)
  13. Esa Viitamo, 2006. "Markkinoiden toimivuuden arvioiminen - Suuntaviivoja vertailevalle kilpailututkimukselle," Discussion Papers 1021, The Research Institute of the Finnish Economy. [Downloadable!]
  14. Petri Böckerman & Mika Maliranta, 2006. "The Micro-level Dynamics of Regional Productivity Growth: The Source of Divergence in Finland Revised," Discussion Papers 1038, The Research Institute of the Finnish Economy. [Downloadable!]
  15. Olavi Rantala, 2006. "Sosiaalietuuksien rahoituksen hinta- ja hyvinvointivaikutukset kotitaloussektorissa," Discussion Papers 1016, The Research Institute of the Finnish Economy. [Downloadable!]
  16. Jean O. Lanjouw & Mark Schankerman, 1999. "The Quality of Ideas: Measuring Innovation with Multiple Indicators," NBER Working Papers 7345, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
  17. Dietmar Harhoff & Francis Narin & Frederic M. Scherer & Katrin Vopel, 1997. "Citation Frequency and the Value of Patented Innovation," CIG Working Papers FS IV 97-26, Wissenschaftszentrum Berlin (WZB), Research Unit: Competition and Innovation (CIG). [Downloadable!]
    Other versions:
  18. Albert, M. B. & Avery, D. & Narin, F. & McAllister, P., 1991. "Direct validation of citation counts as indicators of industrially important patents," Research Policy, Elsevier, vol. 20(3), pages 251-259, June. [Downloadable!] (restricted)
  19. Ari Hyytinen & Olli-Pekka Ruuskanen, 2006. "What makes an entrepreneur independent? Evidence from time use survey," Discussion Papers 1029, The Research Institute of the Finnish Economy. [Downloadable!]
  20. Manuel Trajtenberg, 1990. "A Penny for Your Quotes: Patent Citations and the Value of Innovations," RAND Journal of Economics, The RAND Corporation, vol. 21(1), pages 172-187, Spring. [Downloadable!] (restricted)
  21. Sami Napari, 2006. "Perhevapaiden palkkavaikutukset: katsaus kirjallisuuteen," Discussion Papers 1044, The Research Institute of the Finnish Economy. [Downloadable!]
  22. Kari Alho, 2006. "Climate Policies and Economic Growth," Discussion Papers 1024, The Research Institute of the Finnish Economy. [Downloadable!]
  23. Harhoff, Dietmar & Scherer, Frederic M. & Vopel, Katrin, 2003. "Citations, family size, opposition and the value of patent rights," Research Policy, Elsevier, vol. 32(8), pages 1343-1363, September. [Downloadable!] (restricted)
  24. Olavi Rantala, 2006. "T&K -panostusten kansantaloudelliset vaikutukset," Discussion Papers 1028, The Research Institute of the Finnish Economy. [Downloadable!]
  25. Ville Kaitila & Reijo Mankinen & Nuutti Nikula, 2006. "Yksityisten palvelualojen kansainvälinen tuottavuusvertailu," Discussion Papers 1043, The Research Institute of the Finnish Economy. [Downloadable!]
  26. Elad Harison & Heli Koski, 2006. "Innovative Software Business Strategies: Evidence from Finnish Firms," Discussion Papers 1042, The Research Institute of the Finnish Economy. [Downloadable!]
  27. Maarit Lindström & Mika Pajarinen, 2006. "The Use of Design in Finnish Manufacturing Firms," Discussion Papers 1017, The Research Institute of the Finnish Economy. [Downloadable!]
  28. Tuomo Nikulainen & Mika Pajarinen & Christopher Palmberg, 2005. "Patents and Technological Change - A Review with Focus on the FEPOCI Database," Discussion Papers 984, The Research Institute of the Finnish Economy. [Downloadable!]
  29. Derek C. Jones & Panu Kalmi & Mikko Mäkinen, 2006. "The Productivity Effects of Stock Option Schemes: Evidence from Finnish Panel Data," Discussion Papers 1026, The Research Institute of the Finnish Economy. [Downloadable!]
  30. Alberto Di Minin & Christopher Palmberg, 2006. "A case for non-globalization? The organisation of r&d in the wireless telecommunications industry," Discussion Papers 1047, The Research Institute of the Finnish Economy. [Downloadable!]
Full references

Statistics
Access and download statistics

Did you know? IDEAS was sponsored from 1997 to 2002 by the Université du Québec à Montréal.

This page was last updated on 2009-12-9.

This information is provided to you by IDEAS at the Department of Economics, College of Liberal Arts and Sciences, University of Connecticut using RePEc data on a server sponsored by the Society for Economic Dynamics.