Why Do Some Patents Get Licensed While Others Do Not

Resource type
Date created
2016-11
Authors/Contributors
Abstract
To understand why some patents get licensed and others do not, we estimate a portfolio of firm- and patent-level determinants for why a particular licensor’s patent was licensed over all technologically similar patents held by other licensors. Using data for licensed biopharmaceutical patents, we build a set of alternate patents that could have been licensed-in using topic modeling techniques. This provides a more sophisticated way of controlling for patent characteristics and analyzing the attractiveness of a licensor and the characteristics of the patent itself. We find that patents owned by licensors with technological prestige, experience at licensing, and combined technological depth and breadth have a greater chance at being chosen by licensees. This suggests that a licensor’s standing and organizational learning rather than the quality of its patent alone influence the success of outward licensing.
Document
Published as
Ruckman, Karen and McCarthy, Ian. Why Do Some Patents Get Licensed While Others Do Not? Industrial and Corporate Change. 2017. v. 26 n.4, 667-688. DOI: 10.1093/icc/dtw046
Publication title
Industrial and Corporate Change
Document title
Why Do Some Patents Get Licensed While Others Do Not
Date
2017
Volume
26
Issue
4
First page
667
Last page
688
Publisher DOI
10.1093/icc/dtw046
Copyright statement
Copyright is held by the author(s).
Scholarly level
Peer reviewed?
Yes
Language
Member of collection
Attachment Size
2017_licensing_icc.pdf 918.04 KB