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Patent Trading Flows of Small and Large Firms

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  • Nicolas Figueroa
  • Carlos J. Serrano

Abstract

This article presents the results of an analysis of the patent trading flows of small and large firms and the determinants of these firm's patent sale and acquisition decisions. We also examine whether these transactions lead to an excessive concentration of patent rights. We show that small firms disproportionately sell and acquire more patents than large firms, and find no evidence that patent trading brings about a significant concentration of patent rights in the hands of large firms. We find that the match between new patented innovations and the original inventor's patent portfolio plays an important role in how successful firms are at generating value from their patents, and in the decision to sell a patent. And among the traded patents, we show that patent acquisitions respond to complementarities between the acquired patented innovation and the buyer's technological capabilities to adopt it. Our empirical analysis uses a new, comprehensive data set that matches information on patent trades and the identity of patent owners over a patent's lifetime.

Suggested Citation

  • Nicolas Figueroa & Carlos J. Serrano, 2013. "Patent Trading Flows of Small and Large Firms," NBER Working Papers 18982, National Bureau of Economic Research, Inc.
  • Handle: RePEc:nbr:nberwo:18982
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    References listed on IDEAS

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    Citations

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    Cited by:

    1. Douglas Hanley, 2015. "Innovation, Technological Interdependence, and Economic Growth," 2015 Meeting Papers 1491, Society for Economic Dynamics.
    2. Sinha, Uday Bhanu, 2016. "Optimal value of a patent in an asymmetric Cournot duopoly market," Economic Modelling, Elsevier, vol. 57(C), pages 93-105.
    3. repec:eee:respol:v:46:y:2017:i:9:p:1644-1654 is not listed on IDEAS
    4. repec:spr:scient:v:112:y:2017:i:2:d:10.1007_s11192-017-2411-1 is not listed on IDEAS
    5. Laurie Ciaramella & Catalina Martínez & Yann Ménière, 2017. "Tracking patent transfers in different European countries: methods and a first application to medical technologies," Scientometrics, Springer;Akadémiai Kiadó, vol. 112(2), pages 817-850, August.
    6. repec:pit:wpaper:533 is not listed on IDEAS

    More about this item

    JEL classification:

    • L22 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - Firm Organization and Market Structure
    • L24 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - Contracting Out; Joint Ventures
    • O32 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Management of Technological Innovation and R&D
    • O34 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Intellectual Property and Intellectual Capital

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