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Intellectual property disclosure as threat
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Baker, Scott, Lee, Pak Yee and Mezzetti, Claudio (2011) Intellectual property disclosure as threat. International Journal of Economic Theory, Vol.7 (No.1). pp. 21-38. doi:10.1111/j.1742-7363.2010.00147.x ISSN 1742-7355.
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Official URL: http://dx.doi.org/10.1111/j.1742-7363.2010.00147.x
Abstract
This paper models leading firms in innovation markets deciding first whether to share knowledge, and then playing a market entry game. When firms are sufficiently patient, we show that the feasibility of intellectual property disclosure through licensing to outsiders provides a useful additional threat to entry by the punishing firm in the entry game. The opposite is true when firms are impatient; the availability of intellectual property disclosure makes coordination harder. We also show that if the probability that the leading firms will be able to innovate even without knowledge sharing is sufficiently high and firms are sufficiently patient, then it is also possible for the firms to enforce a knowledge-sharing agreement before innovation has taken place.
Item Type: | Journal Article | ||||
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Subjects: | H Social Sciences > HB Economic Theory K Law [Moys] > KN Common Law, Private Law |
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Divisions: | Faculty of Social Sciences > Economics | ||||
Library of Congress Subject Headings (LCSH): | Intellectual property, Subsidiary corporations, Competition, Organizational behavior | ||||
Journal or Publication Title: | International Journal of Economic Theory | ||||
Publisher: | Wiley-Blackwell Publishing Ltd. | ||||
ISSN: | 1742-7355 | ||||
Official Date: | March 2011 | ||||
Dates: |
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Volume: | Vol.7 | ||||
Number: | No.1 | ||||
Page Range: | pp. 21-38 | ||||
DOI: | 10.1111/j.1742-7363.2010.00147.x | ||||
Status: | Peer Reviewed | ||||
Publication Status: | Published | ||||
Access rights to Published version: | Restricted or Subscription Access | ||||
Version or Related Resource: | Baker, S., Lee, P.Y. and Mezzetti, C. (2008). Intellectual property disclosure as βthreatβ. [Coventry] : University of Warwick, Economics Department. (Warwick economic research papers, no.881). http://wrap.warwick.ac.uk/id/eprint/1336 | ||||
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