Cockburn Macgarvie (2011) - Entry And Patenting In The Software Industry

From edegan.com
Revision as of 13:12, 29 September 2020 by Maintenance script (talk | contribs)
Jump to navigation Jump to search
Article
Has bibtex key
Has article title
Has year
In journal
In volume
In number
Has pages
Has publisher
© edegan.com, 2016


Reference

  • Cockburn, I.M. and Macgarvie, M.J. (2011), "Entry and Patenting in the Software Industry", Management science, Vol.57, No.5, pp.915--933
@article{cockburn2011entry,
  title={Entry and Patenting in the Software Industry},
  author={Cockburn, I.M. and Macgarvie, M.J.},
  journal={Management science},
  volume={57},
  number={5},
  pages={915--933},
  year={2011},
  abstract={To what extent are firms kept out of a market by patents covering related technologies? Do patents held by potential entrants make it easier to enter markets? We estimate the empirical relationship between market entry and patents for 27 narrowly defined categories of software products during the period 1990-2004. Controlling for demand, market structure, patent quality, and other factors, we find that a 10% increase in the number of patents relevant to market reduces the rate of entry by 3-8%, and this relationship intensified following expansions in the patentability of software in the mid- 1990s. However, potential entrants with patent applications relevant to a market are 2-3 times more likely to enter it. Finally, patents appear to substitute for complementary assets in the entry process, as patents have both greater entry-deterring and entrypromoting effects for firms without prior experience in other markets.},
  discipline={Mgmt},
  research_type={Empirical},
  industry={Software},
  thicket_stance={},
  thicket_stance_extract={},
  thicket_def={},
  thicket_def_extract={},  
  tags={},
  filename={Cockburn Macgarvie (2011) - Entry And Patenting In The Software Industry.pdf}
}

File(s)

Abstract

To what extent are firms kept out of a market by patents covering related technologies? Do patents held by potential entrants make it easier to enter markets? We estimate the empirical relationship between market entry and patents for 27 narrowly defined categories of software products during the period 1990-2004. Controlling for demand, market structure, patent quality, and other factors, we find that a 10% increase in the number of patents relevant to market reduces the rate of entry by 3-8%, and this relationship intensified following expansions in the patentability of software in the mid- 1990s. However, potential entrants with patent applications relevant to a market are 2-3 times more likely to enter it. Finally, patents appear to substitute for complementary assets in the entry process, as patents have both greater entry-deterring and entrypromoting effects for firms without prior experience in other markets.