Cockburn Macgarvie (2011) - Entry And Patenting In The Software Industry
| Article | |
|---|---|
| Has bibtex key | |
| Has article title | Entry And Patenting In The Software Industry |
| Has author | Cockburn Macgarvie |
| Has year | 2011 |
| In journal | |
| In volume | |
| In number | |
| Has pages | |
| Has publisher | |
| © edegan.com, 2016 | |
- This page is referenced in the Patent Thicket Literature Review
- This page is listed on the PTLR Core Papers page
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.
