IDEAS home Printed from https://ideas.repec.org/
MyIDEAS: Log in (now much improved!) to save this paper

Sleeping patents: any reason to wake up?

Author Info

Listed author(s):
  • Palomeras, Neus

    ()

    (Universitat Pompeu Fabra)

Registered author(s):

    Abstract

    Patents are typically characterized as very valuable assets for firms. Nevertheless, there are many patents in a firm's portfolio that are actually never used. In this paper, we claim that there is a relationship between a firm's decision to use or not to use a patent and the characteristics of the underlying invention. We characterize patent use according to the sleeping or non-sleeping character of the patents in the firm's portfolio. We characterize the underlying invention along different dimensions captured by the patent, i.e. importance, strategic fit, scope and innovativeness. We perform an empirical analysis on a set of patent-active firms in the chemicals industry that trade some of their patents through what is currently the only website specialized in firm technology transfer through the Internet, yet2.com. We use The NBER Patent Citations Data File to obtain information about the patents granted to these firms. Our results suggest that sleeping patents are more innovative, broader and no less important than their counterparts. We conclude that such patents are worth waking up, especially when the underlying invention is applicable to business areas far away from the patentholder's strategic core. These results suggest that there is potential for markets for technology to develop.

    Download Info

    If you experience problems downloading a file, check if you have the proper application to view it first. 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.iese.edu/research/pdfs/DI-0506-E.pdf
    Download Restriction: no

    Paper provided by IESE Business School in its series IESE Research Papers with number D/506.

    as
    in new window

    Length: 25 pages
    Date of creation: 23 Apr 2003
    Handle: RePEc:ebg:iesewp:d-0506
    Contact details of provider: Postal:
    IESE Business School, Av Pearson 21, 08034 Barcelona, SPAIN

    Web page: http://www.iese.edu/

    More information through EDIRC

    Keywords: Patents; innovativeness;

    This paper has been announced in the following NEP Reports:

    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.:

    as
    in new window


    1. Bronwyn H. Hall & Adam B. Jaffe & Manuel Trajtenberg, 2000. "Market Value and Patent Citations: A First Look," NBER Working Papers 7741, National Bureau of Economic Research, Inc.
    2. Hopenhayn, H.A. & Mitchell, M.F., 1999. "Innovation Fertility and Patent Design," Papers 303, Minnesota - Center for Economic Research.
    3. Steven Klepper & Sally Sleeper, 2005. "Entry by Spinoffs," Management Science, INFORMS, vol. 51(8), pages 1291-1306, August.
    4. Scott Shane, 2001. "Technological Opportunities and New Firm Creation," Management Science, INFORMS, vol. 47(2), pages 205-220, February.
    5. Adam B. Jaffe & Manuel Trajtenberg & Michael S. Fogarty, 2000. "The Meaning of Patent Citations: Report on the NBER/Case-Western Reserve Survey of Patentees," NBER Working Papers 7631, National Bureau of Economic Research, Inc.
    6. Bronwyn H. Hall & Adam B. Jaffe & Manuel Trajtenberg, 2001. "The NBER Patent Citation Data File: Lessons, Insights and Methodological Tools," NBER Working Papers 8498, National Bureau of Economic Research, Inc.
    7. David J. TEECE, 2008. "Profiting from technological innovation: Implications for integration, collaboration, licensing and public policy," World Scientific Book Chapters,in: The Transfer And Licensing Of Know-How And Intellectual Property Understanding the Multinational Enterprise in the Modern World, chapter 5, pages 67-87 World Scientific Publishing Co. Pte. Ltd..
    8. Arora, Ashish, 1997. "Patents, licensing, and market structure in the chemical industry," Research Policy, Elsevier, vol. 26(4-5), pages 391-403, December.
    9. Harhoff, Dietmar & Reitzig, Markus, 2004. "Determinants of opposition against EPO patent grants--the case of biotechnology and pharmaceuticals," International Journal of Industrial Organization, Elsevier, vol. 22(4), pages 443-480, April.
    10. Edward Kutsoati & Jan Zabojnik, 2001. "Durable Goods Monopoly, Learning-by-doing and "Sleeping Patents"," Discussion Papers Series, Department of Economics, Tufts University 0105, Department of Economics, Tufts University.
    11. Takalo, Tuomas & Kanniainen, Vesa, 2000. "Do patents slow down technological progress?: Real options in research, patenting, and market introduction," International Journal of Industrial Organization, Elsevier, vol. 18(7), pages 1105-1127, October.
    12. Dietmar Harhoff & Francis Narin & F. M. Scherer & Katrin Vopel, 1999. "Citation Frequency And The Value Of Patented Inventions," The Review of Economics and Statistics, MIT Press, vol. 81(3), pages 511-515, August.
    13. Bruno Cassiman & Masako Ueda, 2006. "Optimal Project Rejection and New Firm Start-ups," Management Science, INFORMS, vol. 52(2), pages 262-275, February.
    14. Arora, Ashish & Fosfuri, Andrea & Gambardella, Alfonso, 2001. "Markets for Technology and Their Implications for Corporate Strategy," Industrial and Corporate Change, Oxford University Press, vol. 10(2), pages 419-451, June.
    15. Ashish Arora & Andréa Fosfuri, 2000. "The Market for Technology in the Chemical Industry : Causes and Consequences," Revue d'Économie Industrielle, Programme National Persée, vol. 92(1), pages 317-334.
    16. Gilbert, Richard J & Newbery, David M G, 1982. "Preemptive Patenting and the Persistence of Monopoly," American Economic Review, American Economic Association, vol. 72(3), pages 514-526, June.
    Full references (including those not matched with items on IDEAS)

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.

    as
    in new window


    Cited by:

    1. Paola Giuri & Myriam Mariani & Stefano Brusoni & Gustavo Crespi & Dominique Francoz & Alfonso Gambardella & Walter Garcia-Fontes & Aldo Geuna & Raul Gonzales & Dietmar Harhoff & Karin Hoisl & Christia, 2005. "Everything you Always Wanted to Know about Inventors (but Never Asked): Evidence from the PatVal-EU Survey," LEM Papers Series 2005/20, Laboratory of Economics and Management (LEM), Sant'Anna School of Advanced Studies, Pisa, Italy.
    2. Gambardella, Alfonso & Giuri, Paola & Luzzi, Alessandra, 2007. "The market for patents in Europe," Research Policy, Elsevier, vol. 36(8), pages 1163-1183, October.
    3. Nicolas van Zeebroeck & Bruno van Pottelsberghe de la Potterie, 2011. "Filing strategies and patent value," Economics of Innovation and New Technology, Taylor & Francis Journals, vol. 20(6), pages 539-561, February.
    4. Giuri, Paola & Mariani, Myriam & Brusoni, Stefano & Crespi, Gustavo & Francoz, Dominique & Gambardella, Alfonso & Garcia-Fontes, Walter & Geuna, Aldo & Gonzales, Raul & Harhoff, Dietmar & Hoisl, Karin, 2007. "Inventors and invention processes in Europe: Results from the PatVal-EU survey," Research Policy, Elsevier, vol. 36(8), pages 1107-1127, October.
    5. Chi Leung & Yue Kwok, 2011. "Real options game analysis of sleeping patents," Decisions in Economics and Finance, Springer;Associazione per la Matematica, vol. 34(1), pages 41-65, May.
    6. Barberá-Tomás, David & Jiménez-Sáez, Fernando & Castelló-Molina, Itziar, 2011. "Mapping the importance of the real world: The validity of connectivity analysis of patent citations networks," Research Policy, Elsevier, vol. 40(3), pages 473-486, April.

    This item is not listed on Wikipedia, on a reading list or among the top items on IDEAS.

    Access and download statistics

    When requesting a correction, please mention this item's handle: RePEc:ebg:iesewp:d-0506. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Noelia Romero)

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If references are entirely missing, you can add them using this form.

    If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    This information is provided to you by IDEAS at the Research Division of the Federal Reserve Bank of St. Louis using RePEc data.