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We need to talk - or do we? Geographic distance and the commercialization of technologies from public research

  • Guido Buenstorf

    ()

    (Institute of Economics and International Center for Higher Education Research (INCHER-Kassel), University of Kassel)

  • Alexander Schacht

    ()

    (Graduate College "The Economics of Innovative Change", Friedrich Schiller University Jena)

Using a new dataset with detailed geographic information about licensing activities of the Max Planck Society, Germany's largest non-university public research organization, we analyze how the probability and magnitude of commercial success are affected by geographic distance between licensors and licensees. Our evidence suggests that proximity is not generally associated with superior commercialization outcomes. A negative association between distance and commercialization success is identified only for the specific cases of, first, spin-off licensees located outside Germany and, second, foreign licensees within the subsample of inventions with multiple licensees.

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File URL: http://pubdb.wiwi.uni-jena.de/pdf/wp_2011_061.pdf
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Paper provided by Friedrich-Schiller-University Jena, Max-Planck-Institute of Economics in its series Jena Economic Research Papers with number 2011-061.

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Date of creation: 2011
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Handle: RePEc:jrp:jrpwrp:2011-061
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