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When does start-up innovation spur the gale of creative destruction?

Author: Joshua Gans; Scott Stern; David H Hsu; Intellectual Property Research Institute of Australia.
Publisher: Melbourne, Vic. : Intellectual Property Research Institute of Australia, 2002.
Series: Intellectual Property Research Institute of Australia working paper, no. 02/02.
Edition/Format:   Print book : EnglishView all editions and formats
Database:WorldCat
Summary:
This paper examines the determinants of commercialisation strategy for start-up innovators. The authors examine whether the returns on innovation are earned through product market competition versus cooperation with established firms (through licensing, alliances or acquisition). The authors' hypotheses are that the relative returns to cooperation are increasing in (a) control over intellectual property rights, (b)  Read more...
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Material Type: Internet resource
Document Type: Book, Internet Resource
All Authors / Contributors: Joshua Gans; Scott Stern; David H Hsu; Intellectual Property Research Institute of Australia.
ISSN:1447-2317
OCLC Number: 223413945
Description: [16] p. : ill., tables ; 21 cm.
Contents: 1. Introduction --
2. The determinants of start-up commercialisation strategy --
3. Data --
4. Empirical results --
5. Discussion and conclusions.
Series Title: Intellectual Property Research Institute of Australia working paper, no. 02/02.
Responsibility: Joshua S. Gans, David H. Hsu, Scott Stern.

Abstract:

This paper examines the determinants of commercialisation strategy for start-up innovators. The authors examine whether the returns on innovation are earned through product market competition versus cooperation with established firms (through licensing, alliances or acquisition). The authors' hypotheses are that the relative returns to cooperation are increasing in (a) control over intellectual property rights, (b) low transaction costs, and (c) sunk costs associated with product market entry. Using a novel dataset of the commercialisation strategies of start-up innovators, the results suggest that the pro-competitive impact of start-up innovation - the gale of creative destruction - depends on imperfections in the market for ideas.

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