The impact of acquisitions on Chinese acquirers' innovation performance: An empirical investigation of 1,545 Chinese acquisitions

in Journal of Business Economics (2019), 89(2), 125-153

Acquisitions by Chinese firms have increased markedly in recent years. So far, we know little about the effects of these acquisitions on the acquirer’s innovation performance. Our paper focuses on two ... [more ▼]

Acquisitions by Chinese firms have increased markedly in recent years. So far, we know little about the effects of these acquisitions on the acquirer’s innovation performance. Our paper focuses on two interrelated research questions. First, to what extent can Chinese firms increase their patent output following an acquisition? Second, which factors influence the post-acquisition patent output? Using a comprehensive dataset of 697 publicly listed Chinese firms in the manufacturing sector that conducted 1545 acquisitions from 2000 to 2012, we find no significant overall effect of acquisitions on patent output. However, we find that several acquisition-specific factors have a positive effect on the post-acquisition patent output (e.g., size of the acquired knowledge base, relatedness of the acquired knowledge base, cross-border acquisitions). Our study extends prior research on post-acquisition innovation performance to the context of Chinese acquirers. [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 ▲]

Why do SMEs file trademarks? Insights from firms in innovative industries

in Research Policy (2015), 44(10), 1915-1930

Trademark filings have increased markedly over time. Although prior research has investigated the out-comes of trademark registration, including its effects on firm market valuation and productivity ... [more ▼]

Trademark filings have increased markedly over time. Although prior research has investigated the out-comes of trademark registration, including its effects on firm market valuation and productivity, little isknown about why firms file trademarks. However, to interpret the increase in trademark filings and itseconomic effects, it is important to know and understand why firms file trademarks. Because trademarksare particularly important to small and medium-sized enterprises (SMEs), this study analyzes trademark-ing motives using a survey of 600 SMEs in innovative industries. An exploratory factor analysis yieldsthree distinct motives: protection, marketing, and exchange. A cluster analysis reveals four distinct clus-ters of firms with respect to the three trademarking motives. A comparison of these clusters revealssignificant differences in several industry- and firm-level characteristics, including participation in ser-vice industries and relationships with external parties. Implications for research on SMEs, trademarks,and intellectual property management are discussed. [less ▲]

Trademark families: characteristics and market values

in Journal of Brand Management (2014), 21(1), 150-170

Research shows that financial markets value trademarks. Often, a firm’s trademarks can be decomposed into groups of related trademarks (trademark families). This study identifies different types of ... [more ▼]

Research shows that financial markets value trademarks. Often, a firm’s trademarks can be decomposed into groups of related trademarks (trademark families). This study identifies different types of trademark families and analyzes their respective effects on the market values of large, publicly listed firms. The results show that financial markets value only those trademarks that develop existing brands, while they do not value the creation of new trademarks. The implications of the results for corporate intellectual property and brand management are discussed. [less ▲]