nep-ipr New Economics Papers
on Intellectual Property Rights
Issue of 2020‒11‒30
seven papers chosen by
Giovanni Ramello
Università degli Studi del Piemonte Orientale “Amedeo Avogadro”

  1. Experimental Investigation of Cannibalisation by Introducing a Global Brand Abreast Existing Indian Store Brand By H. R., Ganesha; Aithal, Sreeramana; P., Kirubadevi
  2. Free movement of inventors: open-border policy and innovation in Switzerland By Cristelli, Gabriele; Lissoni, Francesco
  3. The effect of design protection on price and price dispersion: Evidence from automotive spare parts By Herz, Benedikt; Mejer, Malwina
  4. Patent-related actions taken in WTO members in response to the COVID-19 pandemic By Wu, Xiaoping; Khazin, Bassam Peter
  5. Do Standard-Essential Patent Owners Behave Opportunistically? Evidence from U.S. District Court Dockets By Love, Brian; Lefouili, Yassine; Helmers, Christian
  6. Patent Screening, Innovation, and Welfare By Schankerman, Mark; Schuett, Florian
  7. Patent Toxicity By Gianluca Biggi; Elisa Giuliani; Arianna Martinelli

  1. By: H. R., Ganesha; Aithal, Sreeramana; P., Kirubadevi
    Abstract: Globalization of consumer brands and liberalization of the Indian retail sectors are enabling consumers to conveniently purchase their aspirational Global brands. India being one of the fast-developing countries with world’s second largest population and the majority of the retail market being serviced by unorganized retailers, many Global consumer brands are trying to penetrate into the Indian retail market through various routes viz, exclusive branded outlets, franchising and licensing. Ever since the penetration of Global consumer brands have started, the majority of Indian retailers’ and consumers’ perspective towards their own private/store brands is expected to have changed. This change in perspective has put the majority of retailers in India into a quandary and they think that this is surely leading to cannibalization and thereto impacting the store profitability along with losing out their market share slowly to Global brands. In this research, authors have carried out an experiment by introducing a reputed Global apparel brand abreast an existing Indian store apparel brand/private label to investigate; (a) proof, (b) pattern, (c) magnitude, (d) significance and (e) impact of cannibalization and transpired the outcomes of this experimentation into suggestions to enable brick-and-mortar retailers to design appropriate brand mix strategies.
    Keywords: Cannibalisation, Global Brand, Store Brand, Private Label, Bricks-and-mortar store, Offline store, Physical store, Store Profitability, Indian Retail
    JEL: M3 M31 M37 M39
    Date: 2020–04–27
  2. By: Cristelli, Gabriele; Lissoni, Francesco
    Abstract: We study the innovation effects of the Agreement on the Free Movement of Persons (AFMP), signed by Switzerland and the EU in 1999. Using geocoded patent data, complemented by matched inventor-immigrant-census records, we identify a large number of cross-border inventors (CBIs), commuters from neighbouring countries working in Swiss R&D labs. We show that, during the AFMP implementation phase, the influx of CBIs increased differentially across regions at different driving distances from the border. That caused a 24% increase in patents, mostly due to large and medium patent holders (as opposed to very large ones) and to inventor teams mixing CBIs and natives. The latter were not displaced and increased their productivity, thanks to complementarity between their knowledge assets and those of CBIs.
    Keywords: Immigration, Innovation, Patents, Inventors, Free Movement of Persons
    JEL: F22 J61 O31 O33
    Date: 2020–11
  3. By: Herz, Benedikt; Mejer, Malwina
    Abstract: The design right is a widely used but poorly understood intellectual property right that allows the protection of products’ aesthetics and outer appearances. We study the influence of design right protection on price by exploiting cross-country differences in the scope of protection in the European automotive spare parts market: In some countries, repair parts are exempted from design protection, while in others they are not. Based on detailed price data, our difference-in-differences estimates imply that design protection increases prices by about 5–8%, with large differences between carmakers. We then link our findings to the literature on deviations from the law of one price. We document large cross-country price deviations for identical spare parts and provide evidence that a part of these price deviations can be explained by the lack of harmonization of design right protection in combination with carmakers’ pricing-to-market strategies.
    Keywords: design right, design patent, repair clause, law of one price, price dispersion, European car market, automotive aftermarket, spare parts
    JEL: F15 K21 L11 L62 O34
    Date: 2020–06–01
  4. By: Wu, Xiaoping; Khazin, Bassam Peter
    Abstract: COVID-19, caused by SARS-Cov-2, was declared to be a pandemic by the World Health Organization on 11 March 2020. Since then, the issue of the relationship between patent protection and the development of and access to medical treatments and technologies - a longstanding and enduringly important public policy issue - has become central to the debate on the linkages between IP, innovation, access, and public health between stakeholders with divergent interests. This working paper provides an overview of the patent landscape of medical treatments and technologies related to COVID-19, and of the patent status of two investigational medical treatments: remdesivir and lopinavir/ritonavir. It then presents various patent-related actions taken by legislators, policymakers, industry sectors, and civil society organizations in WTO Members since the outbreak. Furthermore, it elaborates on patent-related policy options provided by the TRIPS Agreement, and WTO Members' national implementation and utilization of these options in their response to the COVID-19 pandemic.
    Keywords: COVID-19 pandemic,patent,open innovation,patentable subject matter,repurposed medicines,exceptions and limitations,licences,government use,transition periods,LDCs,WTO,TRIPS
    JEL: K11 K15 K30 O30 O31 O34 I18
    Date: 2020
  5. By: Love, Brian; Lefouili, Yassine; Helmers, Christian
    Abstract: Do owners of standard-essential patents (SEPs) "holdup" companies that produce standard-compliant products? To explore this question, we use detailed information from the dockets of all U.S. patent cases filed 2010-2019 that assert or challenge SEPs to construct measures of opportunistic conduct by SEP licensors, including actions that took place before the lawsuit was filed. We find evidence of opportunistic behavior by the SEP enforcer in at least 75% of SEP assertions in court, and we analyze various factors that determine which opportunistic behaviors SEP enforcers rely on. We also show that opportunistic behavior can affect case outcomes, although the effect on settlement is ambiguous. Some behaviors increase the likelihood of a settlement, while others decrease it.
    Keywords: Litigation, standards, patents, holdup, U.S.
    JEL: K41 O30
    Date: 2020–11–09
  6. By: Schankerman, Mark; Schuett, Florian (Tilburg University, TILEC)
    Keywords: innovation; patent quality; screening; litigation; courts; patent fees; licensing
    Date: 2020
  7. By: Gianluca Biggi; Elisa Giuliani; Arianna Martinelli
    Abstract: A toxic-free world is one of the goals of the European Green Deal and a key objective of the World Health Organization Inter-Organization Programme for the Sound Management of Chemicals. However, although use of some toxic chemicals is being banned, others continue to be developed. We consider this motivation for a closer examination of the toxicity of chemical inventions. We combine patent analysis with computational toxicology and develop a methodological roadmap to measure patent toxicity, that is, the extent to which a patent includes ''components'' (or compounds) that are toxic to humans and/or the environment. To illustrate our proposed methodology, we analyse the toxicity of ten well-known hazardous chemicals. The measurement of patent toxicity opens up interesting avenues for future research and, potentially, has some strong policy implications.
    Keywords: Patents; computational toxicology, chemical inventions.
    Date: 2020–11–18

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