Licensing the market for technology
AbstractIn technology-based industries, incumbent firm often license their technology to potential competitors. Such a strategy is difficul to explain within traditional models of licensing. This paper extends the literature on licensing by relaxing the assumption of a monopolist technology holder. Competition in the market for technology induces licensing of innovations and incumbent firm may fin it privately profitabl to license although their joint profit may well be higher in the absence of any licensing. A strong testable implication of our model is that the number of licenses per patent holder decreases with the degree of product differentiation.
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Bibliographic InfoPaper provided by Universidad Carlos III de Madrid in its series Open Access publications from Universidad Carlos III de Madrid with number info:hdl:10016/13388.
Length: 297 p.
Date of creation: Oct 2003
Date of revision:
Publication status: Published in Journal of Economic Behavior & Organization (2003-10) v.v. 52, p.277-295
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Web page: http://www.uc3m.es
Licensing; Market structure; Product differentiation;
Other versions of this item:
- D23 - Microeconomics - - Production and Organizations - - - Organizational Behavior; Transaction Costs; Property Rights
- D43 - Microeconomics - - Market Structure and Pricing - - - Oligopoly and Other Forms of Market Imperfection
- L13 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance - - - Oligopoly and Other Imperfect Markets
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Blog mentionsAs found by EconAcademics.org, the blog aggregator for Economics research:
- Commercialization strategies for start-ups: Examples
by Paul Belleflamme in IPdigIT on 2012-12-04 10:27:01
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