Quantity and quality of jobs by entrepreneurial firms

in Oxford Review of Economic Policy (2018), 34(4), 565-583

The idea that start-ups and young firms (hereafter entrepreneurial firms) create jobs is very popular among policy-makers and has led to a large number of studies investigating the effect of ... [more ▼]

The idea that start-ups and young firms (hereafter entrepreneurial firms) create jobs is very popular among policy-makers and has led to a large number of studies investigating the effect of entrepreneurship on job creation. Recently, however, society and many players in the political arena have begun to care not only about job quantity and quantitative employment levels, but also about the quality of the jobs created. This study provides the first systematic literature review of research on the quantity and quality of jobs created by entrepreneurial firms. Our review shows that entrepreneurial firms have a long-lasting and positive effect on job creation. This effect seems to be due to a very small fraction of young, high-growth firms. With regard to job quality, however, the findings are less clear cut: while some studies indicate that entrepreneurial firms do create higher-quality jobs, a multitude of studies indicate that these jobs are of lower quality. We also show that entrepreneurial firms attract a different type of employee than established firms. For example, employees in entrepreneurial firms attach a lower weight to salary and job security than those in established firms, and instead assign greater value to responsibility, innovation, and challenges. Another finding is that many jobs in entrepreneurial firms are filled by formerly unemployed individuals. The review concludes with policy implications and avenues for future research. [less ▲]

Trademark or patent? The effects of market concentration, customer type, and venture capital financing on start-ups’ initial IP applications

in Industry and Innovation (2017), 24(4), 325-345

We analyse the initial IP applications of 4,703 start-ups in the U.S., distinguishing between trademark and patent applications. Our empirical results show that start-ups are more likely to file for ... [more ▼]

We analyse the initial IP applications of 4,703 start-ups in the U.S., distinguishing between trademark and patent applications. Our empirical results show that start-ups are more likely to file for trademarks instead of patents when entering markets with a higher market concentration. Furthermore, we find that start-ups that are primarily active in business-to-consumer markets instead of business-to-business markets are more likely to file trademarks. Finally, the involvement of a venture capitalist (VC) affects the initial IP application. VC-backed start-ups are more likely than other startups to file initial IP in the form of trademarks rather than patents. This paper contributes to research on the use of IP rights in start-ups and to the literature on new venture strategy. [less ▲]

The value of Chinese patents: An empirical investigation of citation lags

in China Economic Review (2017), 45

China has been experiencing a substantial growth in patent applications. But is this increase accompanied by a similar increase in patent value? To assess this question, we examine the citation lag of ... [more ▼]

China has been experiencing a substantial growth in patent applications. But is this increase accompanied by a similar increase in patent value? To assess this question, we examine the citation lag of Chinese patents as a proxy of patent value in comparison with patents from the US, Europe, Japan, and Korea. Our empirical analysis comprises a unique data set of 60,000 patents with priority years between 2000 and 2010. Utilizing Cox regressions, our results show that Chinese patents suffer from a large citation lag in comparison to international patents, indicating a lower value. This is especially true for patents filed domestically. However, we find empirical support for an increasing patent value in more recent patents. China shows a strong dynamic in the field of patenting and our results suggest that the gap between Chinese patents and international patents might narrow down in the near future. [less ▲]

Patents and trademarks: Motivations, antecedents, and value in industrialized and emerging markets

Doctoral thesis (2016)

Intellectual property rights (IPRs) play a very important role for innovations. They serve as a mechanism for innovators (e.g., individuals, companies, universities) to protect their intellectual property ... [more ▼]

Intellectual property rights (IPRs) play a very important role for innovations. They serve as a mechanism for innovators (e.g., individuals, companies, universities) to protect their intellectual property and enable the holder of the IPR to profit from the innovation. Patents and trademarks constitute the two most important and most frequently utilized IPRs. This thesis contains five empirical studies that address recent research gaps in research on patents and trademarks. With regard to patents, this thesis focuses on patenting in China, which underwent a remarkable and explosive growth recently: Only 15 years ago, Chinese applicants filed 1.9% of the patents they filed in 2014. This is because China is trying to transition itself from an imitation-based to innovation-based economy. However, even though China is actively and prominently fostering innovation in trying to become a leading innovator, China is still far away from reaching the world’s innovation frontier. In light of this ongoing and still relatively unexplored phenomenon, this thesis addresses several important issues regarding the antecedents of patenting and the value of patents in China that are crucial, but have received little attention so far. In particular, this thesis addresses the more specific topics of university patenting, the impact of acquisitions on innovation performance, and patent value in China. In contrast to research on patenting, research on trademarking is in comparatively early stages. Trademarks are a very important IPR for firms to distinguish themselves from competitors and have been linked positively to the market valuation, survival, and productivity of firms. However, little is known on why firms file trademarks, which is the focus of the final study in this thesis. [less ▲]

University patenting: a comparison of 300 leading universities worldwide

in Journal of Technology Transfer (2015), 40(2), 318-345

Despite a worldwide increase in university patenting, empirical studies have largely focused on analyzing university patenting in individual countries and regions. We provide analyses from an ... [more ▼]

Despite a worldwide increase in university patenting, empirical studies have largely focused on analyzing university patenting in individual countries and regions. We provide analyses from an international perspective, examining patents at the top 300 universities worldwide. By providing a patent ranking system and an analysis of the determinants of university patenting, we enable an international comparison not only between different countries but also between universities within countries. A ranking of the top-patenting universities shows a huge predominance of US universities: 18 of the top 25 universities are located in the US, with the Massachusetts Institute of Technology being ranked first. Our results show that the propensity to apply for patents is very high among US and Asian universities, while European universities lag behind. In addition to the home country, further determinants of university patenting are the quantity of the universities’ publications and a technological focus in areas such as chemistry and mechanical engineering. However, the size of a university and the quality of its publications are not found to be significant determinants. [less ▲]

Socialist Heritage and Image of Entrepreneurs in Europe: Micro-Level Evidence

in Business Administration Review (2015), 75(4), 211-232

What factors shape an individual’s opinion on entrepreneurs? How do these factors differ across countries? This paper analyzes the relationship between socialist history and individuals’ opinions on ... [more ▼]

What factors shape an individual’s opinion on entrepreneurs? How do these factors differ across countries? This paper analyzes the relationship between socialist history and individuals’ opinions on entrepreneurs. Using a large-scale micro-level dataset from 30 European countries, we find that individuals from countries with a socialist history have a more negative opinion on entrepreneurs. This negative effect is less pronounced for individuals that are younger, better educated and have self-employed parents. Our paper makes two contributions to the literature: First, it provides empirical evidence on the determinants of individuals’ opinion on entrepreneurs. Second, it contributes to the understanding of entrepreneurship in former socialist countries. [less ▲]

Titel: Die Bedeutung des CEO für die Internationalisierung von kleinen und mittleren Unternehmen

in Wirtschaftspolitische Blätter (2013), 60(1), 139-153

Die Internationalisierung von kleinen und mittleren Unternehmen (KMU) ist für die Unternehmenspraxis von hoher Bedeutung. Die vorliegende Arbeit beschäftigt sich damit, inwiefern Charakteristika des Chief ... [more ▼]

Die Internationalisierung von kleinen und mittleren Unternehmen (KMU) ist für die Unternehmenspraxis von hoher Bedeutung. Die vorliegende Arbeit beschäftigt sich damit, inwiefern Charakteristika des Chief Executive Officers (CEO) Einfluss auf die Markteintrittsformwahl von KMU nehmen. Die durchgeführten empirischen Analysen zeigen, dass ein hohes Alter, ein hohes Bildungsniveau sowie eine große internationale Erfahrung des CEO die Wahrscheinlichkeit direktinvestiver Markteintrittsformen verringern. Die Ergebnisse sind relevant für die Unternehmenspraxis, da sie zeigen, dass es zu einer durch die Person des CEO begründeten, jedoch aus Unternehmenssicht möglicherweise nicht optimalen Markteintrittsformwahl kommen kann. KMU sollten sich dieser Möglichkeit bewusst sein und solchen Entscheidungsverzerrungen gegebenenfalls entgegenwirken. [less ▲]