R&D Collaboration with Uncertain Intellectual Property Rights

Dirk Czarnitzki, Katrin Hussinger, Cédric Schneider

Research output: Contribution to journalJournal articleResearchpeer-review

Abstract

Patent pendencies create uncertainty in research and development (R&D) collaboration, which can result in a threat of expropriation of unprotected knowledge, reduced bargaining power and enhanced search costs. We show that—depending of the type of collaboration partner and the size of the company—uncertain intellectual property rights (IPRs) lead to reduced collaboration between firms and can, hence, hinder knowledge production. This has implications for technology policy as R&D collaborations are exempt from antitrust legislation in order to increase R&D in the economy. We argue that a functional IPR system is needed for successful utilization of this policy.
Patent pendencies create uncertainty in research and development (R&D) collaboration, which can result in a threat of expropriation of unprotected knowledge, reduced bargaining power and enhanced search costs. We show that—depending of the type of collaboration partner and the size of the company—uncertain intellectual property rights (IPRs) lead to reduced collaboration between firms and can, hence, hinder knowledge production. This has implications for technology policy as R&D collaborations are exempt from antitrust legislation in order to increase R&D in the economy. We argue that a functional IPR system is needed for successful utilization of this policy.
LanguageEnglish
JournalReview of Industrial Organization
Volume46
Issue number2
Pages183-204
ISSN0889-938X
DOIs
StatePublished - 2015

Keywords

    Cite this

    Czarnitzki, Dirk ; Hussinger, Katrin ; Schneider, Cédric. / R&D Collaboration with Uncertain Intellectual Property Rights. In: Review of Industrial Organization. 2015 ; Vol. 46, No. 2. pp. 183-204
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    R&D Collaboration with Uncertain Intellectual Property Rights. / Czarnitzki, Dirk; Hussinger, Katrin; Schneider, Cédric.

    In: Review of Industrial Organization, Vol. 46, No. 2, 2015, p. 183-204.

    Research output: Contribution to journalJournal articleResearchpeer-review

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