Reference : R&D Collaboration with Uncertain Intellectual Property Rights
Scientific journals : Article
Business & economic sciences : Strategy & innovation
R&D Collaboration with Uncertain Intellectual Property Rights
Czarnitzki, Dirk []
Hussinger, Katrin mailto [University of Luxembourg > Faculty of Law, Economics and Finance (FDEF) > Center for Research in Economic Analysis (CREA) >]
Schneider, Cedric []
Review of Industrial Organization
Springer Science & Business Media B.V.
Yes (verified by ORBilu)
[en] intellectual property ; patents ; R&D collaboration ; uncertainty
[en] Patent pendencies create uncertainty in research and development (R&D) collaboration, which can result in a threat of expropriation of unprotected knowledge, reduced bargaining power and enhanced search costs. We show that - depending of the type of collaboration partner and the size of the company - uncertain intellectual property rights (IPR) lead to reduced collaboration between firms and can, hence, hinder knowledge production. This has implications for technology policy as R&D collaborations are exempt from antitrust legislation in order to increase R&D in the economy. We argue that a functional IPR system is needed for successful utilization of this policy.

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