nep-tid New Economics Papers
on Technology and Industrial Dynamics
Issue of 2012‒04‒23
six papers chosen by
Rui Baptista
Technical University of Lisbon

  1. Open innovation, contracts, and intellectual property rights: an exploratory empirical study By Hagedoorn, John; Ridder, Ann-Kristin
  2. Employment effect of innovation: microdata evidence from Bangladesh and Pakistan By Waheed, Abdul
  3. Patent Disclosure in Standard Setting By Bernhard Ganglmair; Emanuele Tarantino
  4. Efficiency through openness: the economic value proposition of open source software By Ghafele, Roya; Gibert, Benjamin
  5. Patents Wars (2ème partie) : Les conséquences : la paralysie de l'industrie, le freinage de l'innovation By Pierre-André Mangolte
  6. Patents Wars (3ème partie) : Les pools, du cartel à l'abolition partielle du système des patents By Pierre-André Mangolte

  1. By: Hagedoorn, John (UNU-MERIT/MGSoG, and Department of Organization & Strategy, School of Business and Economics, Maastricht University); Ridder, Ann-Kristin (Department of Organization & Strategy, School of Business and Economics, Maastricht University)
    Abstract: Our exploratory empirical study, based on a series of in-depth interviews and a survey of firms, searches for answers on a number of questions that deal with the role of formal contracts and intellectual property rights in the context of open innovation. We find that firms active in open innovation have a strong preference for the governance of their open innovation relationships through formal contracts. These contracts are relevant from both a control and a process monitoring perspective. Also, despite the open nature of open innovation, firms still see intellectual property rights as highly relevant to the protection of their innovative capabilities. In a first attempt to explain this preference for intellectual property rights by open innovation firms, we find the degree of openness of firms, their legalistic attitude, and the competitive dynamics of their product market environment to be related to this preference.
    Keywords: open innovation, contracts, intellectual property rights
    JEL: K11 K12 L24
    Date: 2012
  2. By: Waheed, Abdul (UNU-MERIT/MGSoG, Maastricht University)
    Abstract: The analysis of the impact of innovation on employment growth is an important topic for policy makers, because (un)employment is an important social topic, and the effects of innovation on employment are often poorly understood. Despite the significant importance of this relationship, very few studies on this topic for developing countries are yet available compared with developed ones. This paper contributes to this scanty literature by investigating the employment effect of innovation for two South Asian developing countries: Bangladesh and Pakistan. We further analyze whether this relationship shows country-specific and industry-specific differences. Finally, we investigate whether complementarity between process and product innovation exists or which effect (displacement or compensation) of one particular innovation type dominates the other, in order to influence employment. One of the striking findings of our analysis is that both product and process innovation spur employment in this region as a whole, regardless of low-tech and high-tech industries, even after controlling for a number of firm-specific characteristics. Moreover, although both innovation types also have significantly positive impacts on employment growth of all Bangladeshi and of all Pakistani firms separately, they are important factors for employment growth of only high-tech Bangladeshi firms and of only low-tech Pakistani firms. Moreover, we observe a strong complementarity between both innovation types in order to stimulate employment. Contrary to the most previous studies, we witness an insignificantly negative effect of labour cost on employment change, perhaps owing to the availability of labour force to hire at cheaper rates compared with developed countries. We notice that some of the innovation determinants exert different influences across industries and across both countries. The same is the case for the determinants of employment growth.
    Keywords: Bangladesh, Employment growth, Pakistan, Product innovation, Process innovation Process innovation
    JEL: J23 O31 O33
    Date: 2012
  3. By: Bernhard Ganglmair; Emanuele Tarantino
    Abstract: In a model of industry standard setting with private information about firms' intellectual property, we analyze (a) firms' incentives to contribute to the development and improvement of a standard, and (b) firms' decision to disclose the existence of relevant intellectual property to other participants of the standard-setting process. If participants can disclose after the end of the process and fully exploit their bargaining leverage, then patent holders aspire to disclose always after the end of the process. However, if a patent holder cannot rely on the other participants to always contribute to the process, then it may be inclined to disclose before the end of the process. We also analyze under which conditions firms enter cross-licensing agreements that eliminate the strategic aspect of patent disclosure, and show that, in an institutional setting that implies a waiver of intellectual property rights if patents are not disclosed timely, firms aspire to disclose before the end of the process. Finally, we study the effect of product-market competition on patent disclosure.
    JEL: D71 D83 L15 O34
    Date: 2012–04
  4. By: Ghafele, Roya; Gibert, Benjamin
    Abstract: This study identifies the mechanisms inherent to Open Source Software (OSS) production that help fuel innovation in knowledge-based economies. We furthermore assess the impact of Open Source Software on job and skill creation in the United States. We forecast that overall employment in software development occupations is to grow substantially. According to our estimates computer specialist occupations are expected to increase by over 22%, adding 762,000 jobs in the US from 2008 to 2018. This occupational group is one of the fastest growing – twice the average growth rate for all jobs - and software development occupations enjoy an average salary across all industries that is more than twice the national average for all occupations. We estimate that the number of OSS-related software development jobs in the US is estimated to be between 801,590 and 1,201,391 jobs in 2008. This will grow to between 910,007 and 1,477,794 by 2018 according to estimates based on employment projections by the US Bureau of Labour Statistics. The economic value proposition of OSS will reverberate well beyond the software industry. The broad diffusion of software development jobs throughout the US economy suggests that most sectors are in a strong position to adopt OSS. Information technology (IT) user sectors employ the majority of computer specialists in most software development occupations: 68% of computer systems analysts, 58% of computer programmers, 61% of computer and information scientists, and 48% of computer software engineers. This suggests that OSS adoption can be usefully implemented to cut costs and boost innovation efficiency in a variety of industries. As US industries are exposed to the benefits of OSS, open innovation processes outside software development may be adopted through a process of learning and imitation. This is likely to stimulate even greater innovation efficiency gains in all sectors of the US economy.
    Keywords: Job creation; open source software; open innovation;
    JEL: O38 O32 O31
    Date: 2012–03
  5. By: Pierre-André Mangolte (CEPN - Centre d'Economie de l'Université Paris Nord - Université Paris XIII - Paris Nord - CNRS : UMR7234)
    Abstract: Dans cette deuxième partie de l'étude "Patent Wars", et dans une approche toujours comparative, sont analysées les conséquences pour l'activité industrielle et le changement technique des différentes guerres des patents. Dans les trois industries émergentes du cinéma, de l'automobile et de l'aviation, cohabitent alors deux types de modèles économiques, les modèles proprement industriels, accompagnés ou non par des titres, et les modèles plus spécifiquement construits sur la détention et l'exploitation de patents. Ces deux types de modèles économiques sont clairement contradictoires. L'importance accordée aux patents et aux droits des inventeurs et propriétaires de patents aux Etats-Unis explique en effet très largement les évolutions et performances globales, c'est-à-dire la suprématie mondiale du cinéma français sur le cinéma américain jusqu'en 1914, un phénomène étonnant à bien des égards, mais aussi le retard, en dépit de l'invention majeure et de l'avance des frères Wright, et même si d'autres éléments interviennent ici, de l'industrie américaine de la construction des avions; l'automobile représentant alors une sorte de contre-exemple, explicable par le déroulement particulier de l'affaire du brevet Selden. L'étude, détaillée et comparative, montre précisément dans chacune des industries, en quoi et dans quelle mesure les différents "patents wars" ont freiné le développement des activités industrielles et même l'innovation.
    Keywords: guerre des brevets; industrie émergente; innovation; Edison; frères Wright; Selden; Henry Ford
    Date: 2012–03–26
  6. By: Pierre-André Mangolte (CEPN - Centre d'Economie de l'Université Paris Nord - Université Paris XIII - Paris Nord - CNRS : UMR7234)
    Abstract: Dans cette dernière partie sont analysés les différents pools de patents constitués dans les industries du cinéma, de l'automobile et de l'aviation, suite aux guerres des patents étudiées précédemment. L'analyse se concentre alors sur les Etats-Unis. Si les pools ou accords de licences croisées mis sur pied à l'époque relèvent bien d'une même nécessité, celle d'arrêter les litiges juridiques et d'assurer une certaine "paix des patents", leur nature et leurs buts sont bien différents. La Motion Pictures Patents Co prolonge et étend le principe du contrôle exclusif des activités de la loi des patents et constitue par ailleurs un cartel qui sera condamné au titre de la loi Sherman; ce procès étant une des premières confrontations entre la vieille loi des patents et la toute nouvelle législation antitrust. Les différentes expériences dans l'industrie automobile, comme la Manufacturers Aircraft Association de la construction des avions laissaient à l'inverse toutes les entreprises en concurrence, en mettant par contre en commun un certain nombre de techniques. Il y avait là, à l'échelle de toute une industrie, une abolition partielle et volontaire de l'institution des patents.
    Keywords: pool de brevet, Sherman Act, antitrust, abolition des patents, Motion Picture Patents Co, Manufacturers Aircraft Association
    Date: 2012–03–10

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