Whom to Choose as License Partner?: The Interplay between Technology Cooperation & Market Competition

Keld Laursen, Toke Reichstein, Giulia Trombini

    Research output: Chapter in Book/Report/Conference proceedingArticle in proceedingsResearchpeer-review

    Abstract

    This paper investigates the matching of firms on the market for technology. The paper forwards two dimensions along which license formation occurs: technology and product-market. Both sides of the market search for a partner representing potential for high technology synergies to maximize licensing benefits and obviate issues related to technology transfer and knowledge recombination. At the same time, firms wish to select a partner operating in a different product market to minimize competitive downside issues and to access other product markets, skills and resources. We contend interdependence between technology and market forces: if partners are market distant, the likelihood of technology license contractual partnership decreases with partners’ technological distance. Using data on the formation of license partnerships in the global biopharmaceutical industry over the period 1994-2004 the paper lends empirical support for the theoretical predictions.
    This paper investigates the matching of firms on the market for technology. The paper forwards two dimensions along which license formation occurs: technology and product-market. Both sides of the market search for a partner representing potential for high technology synergies to maximize licensing benefits and obviate issues related to technology transfer and knowledge recombination. At the same time, firms wish to select a partner operating in a different product market to minimize competitive downside issues and to access other product markets, skills and resources. We contend interdependence between technology and market forces: if partners are market distant, the likelihood of technology license contractual partnership decreases with partners’ technological distance. Using data on the formation of license partnerships in the global biopharmaceutical industry over the period 1994-2004 the paper lends empirical support for the theoretical predictions.
    LanguageEnglish
    Title of host publicationAcademy of Management Proceedings 2013
    EditorsLeslie Toombs
    Place of PublicationBriar Cliff Manor, NY
    PublisherAcademy of Management
    Date2013
    Pages1139-1144
    Article number15620
    StatePublished - 2013
    EventThe Academy of Management Annual Meeting 2013: Capitalism in Question - Lake Bueno Vista (Orlando), FL, United States
    Duration: 9 Aug 201313 Aug 2013
    Conference number: 73
    http://aom.org/annualmeeting/

    Conference

    ConferenceThe Academy of Management Annual Meeting 2013
    Number73
    CountryUnited States
    CityLake Bueno Vista (Orlando), FL
    Period09/08/201313/08/2013
    Internet address
    SeriesAcademy of Management Proceedings
    Volume2013
    ISSN2151-6561

    Keywords

      Cite this

      Laursen, K., Reichstein, T., & Trombini , G. (2013). Whom to Choose as License Partner? The Interplay between Technology Cooperation & Market Competition. In L. Toombs (Ed.), Academy of Management Proceedings 2013 (pp. 1139-1144). [15620] Briar Cliff Manor, NY: Academy of Management. Academy of Management Proceedings, Vol.. 2013
      Laursen, Keld ; Reichstein, Toke ; Trombini , Giulia . / Whom to Choose as License Partner? The Interplay between Technology Cooperation & Market Competition. Academy of Management Proceedings 2013. editor / Leslie Toombs. Briar Cliff Manor, NY : Academy of Management, 2013. pp. 1139-1144 (Academy of Management Proceedings, ???volume??? 2013).
      @inproceedings{d766f8b3e5514eaba882e9447abfae6d,
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      abstract = "This paper investigates the matching of firms on the market for technology. The paper forwards two dimensions along which license formation occurs: technology and product-market. Both sides of the market search for a partner representing potential for high technology synergies to maximize licensing benefits and obviate issues related to technology transfer and knowledge recombination. At the same time, firms wish to select a partner operating in a different product market to minimize competitive downside issues and to access other product markets, skills and resources. We contend interdependence between technology and market forces: if partners are market distant, the likelihood of technology license contractual partnership decreases with partners’ technological distance. Using data on the formation of license partnerships in the global biopharmaceutical industry over the period 1994-2004 the paper lends empirical support for the theoretical predictions.",
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      Laursen, K, Reichstein, T & Trombini , G 2013, Whom to Choose as License Partner? The Interplay between Technology Cooperation & Market Competition. in L Toombs (ed.), Academy of Management Proceedings 2013., 15620, Academy of Management, Briar Cliff Manor, NY, Academy of Management Proceedings, vol. 2013, pp. 1139-1144, Lake Bueno Vista (Orlando), FL, United States, 09/08/2013.

      Whom to Choose as License Partner? The Interplay between Technology Cooperation & Market Competition. / Laursen, Keld; Reichstein, Toke; Trombini , Giulia .

      Academy of Management Proceedings 2013. ed. / Leslie Toombs. Briar Cliff Manor, NY : Academy of Management, 2013. p. 1139-1144 15620.

      Research output: Chapter in Book/Report/Conference proceedingArticle in proceedingsResearchpeer-review

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      N2 - This paper investigates the matching of firms on the market for technology. The paper forwards two dimensions along which license formation occurs: technology and product-market. Both sides of the market search for a partner representing potential for high technology synergies to maximize licensing benefits and obviate issues related to technology transfer and knowledge recombination. At the same time, firms wish to select a partner operating in a different product market to minimize competitive downside issues and to access other product markets, skills and resources. We contend interdependence between technology and market forces: if partners are market distant, the likelihood of technology license contractual partnership decreases with partners’ technological distance. Using data on the formation of license partnerships in the global biopharmaceutical industry over the period 1994-2004 the paper lends empirical support for the theoretical predictions.

      AB - This paper investigates the matching of firms on the market for technology. The paper forwards two dimensions along which license formation occurs: technology and product-market. Both sides of the market search for a partner representing potential for high technology synergies to maximize licensing benefits and obviate issues related to technology transfer and knowledge recombination. At the same time, firms wish to select a partner operating in a different product market to minimize competitive downside issues and to access other product markets, skills and resources. We contend interdependence between technology and market forces: if partners are market distant, the likelihood of technology license contractual partnership decreases with partners’ technological distance. Using data on the formation of license partnerships in the global biopharmaceutical industry over the period 1994-2004 the paper lends empirical support for the theoretical predictions.

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      Laursen K, Reichstein T, Trombini G. Whom to Choose as License Partner? The Interplay between Technology Cooperation & Market Competition. In Toombs L, editor, Academy of Management Proceedings 2013. Briar Cliff Manor, NY: Academy of Management. 2013. p. 1139-1144. 15620. (Academy of Management Proceedings, Vol. 2013).