Real Options and Intellectual Property [electronic resource] : Capital Budgeting Under Imperfect Patent Protection /
Baecker, Philipp N.author.
Over the last years, due to intensive competition in the knowledge economy, legal aspects surrounding intellectual property (IP) rights - including litigation and settlement - have continuously gained in importance. Correspondingly, professional IP management has become an indispensable element of successful value-based management (VBM) in research-intensive firms. With this text, the author proposes an integrated approach to patent risk and capital budgeting in pharmaceutical research and development (R and D), developing an option-based view (OBV) of imperfect patent protection, which draws upon contingent-claims analysis, stochastic game theory, as well as novel numerical methods. Bridging a widening gap between recent advances in the theory of financial analysis and current challenges faced by pharmaceutical companies, the text re-initiates a discussion about the contribution of quantitative frameworks to value-based R and D management.
Description based upon print version of record.
Includes bibliographical references and index.
Patenting Under Uncertainty -- Patent Protection, the Firm, and the Economy -- Uncertainty, Irreversibility, and Flexibility -- Patent Protection in the Pharmaceutical Industry -- Exogenous Patent Risk -- and Related Work -- Patents as Investment Opportunities -- Patent Risk as Jumps in the Underlying Process -- From Business Shifts to Jump Processes -- Preliminary Conclusion -- Endogenous Patent Risk -- and Related Work -- Patent Risk as an Option to Litigate -- Preliminary Conclusion -- Conclusion.
Over the last years, due to intensive competition in the knowledge economy, legal aspects surrounding intellectual property (IP) rights - including litigation and settlement - have continuously gained in importance. Correspondingly, professional IP management has become an indispensable element of successful value-based management (VBM) in research-intensive firms. With this text, the author proposes an integrated approach to patent risk and capital budgeting in pharmaceutical research and development (R and D), developing an option-based view (OBV) of imperfect patent protection, which draws upon contingent-claims analysis, stochastic game theory, as well as novel numerical methods. Bridging a widening gap between recent advances in the theory of financial analysis and current challenges faced by pharmaceutical companies, the text re-initiates a discussion about the contribution of quantitative frameworks to value-based R and D management.
Management.
Industrial management.
Macroeconomics.
Finance.
Economic theory.
Economics, Mathematical .
Operations research.
Decision making.
Innovation/Technology Management.
Macroeconomics/Monetary Economics//Financial Economics.
Finance, general.
Economic Theory/Quantitative Economics/Mathematical Methods.
Quantitative Finance.
Operations Research/Decision Theory.
Lecture notes in economics and mathematical systems