While many firms compete through the development of new technologies and products, it is well known that new-to-the-world innovation is inherently risky and therefore may increase the probability of firm death. However, many existing studies consistently find a negative association between...

This paper studies how pharmaceutical research and development (Ramp;D) investment responds to publicly supported biomedical research performed mainly in universities and non-profit institutions. New micro-level data on investment by the U.S. National Institutes of Health allow measures of...

Multinational enterprises (MNEs) are increasingly conducting Ramp;D in countries such as China and India, where intellectual property rights (IPR) protection is still far from adequate. This paper examines the puzzle. I argue that weak IPR leads to low returns to innovation and underutilization...

Together with the number of patents and the value of Ramp;D expenditures, scientific measures of patent quality give investors a useful basis upon which to judge the economic merit of the firm's inventive and innovative activity. Especially in the case of small cap and relatively low P/E high...

This study examines the characteristics that make start-up biotechnology firms attractive alliance partners. We distinguish between firm specific and location-specific characteristics as well as between foreign and domestic corporate partners. We present and test a longitudinal model of alliance...

This paper surveys recent findings about how the financial markets value the knowledge assets of publicly traded firms. The motivation for using market value equation to price knowledge assets is discussed and the theory behind this equation is briefly presented. Then the empirical literature...

This paper argues that a large technological innovation may lead to a merger wave by inducing entrepreneurs to seek funds from technologically knowledgeable firms-experts. When a large technological innovation occurs, the ability of non-experts (banks) to discriminate between good and bad...

We formulate a knowledge-based model of direct investment through mergers and acquisitions. Mamp;As are realized to create comparative advantages by exploiting international synergies and appropriating local technology spillovers requiring geographical proximity, but can also represent a...

This paper develops five alternative structural quot;modelsquot; for formal efforts aimed at spinning off new companies from universities, government laboratories, and other research and development organizations. In various ways the models combine the roles of technology originator, the...

In this study we investigate the perceptions of US and Japanese managers toward advanced manufacturing technology (AMT) using data collected from l60 American Firms and l25 Japanese firms. We examine the importance managers from these countries attribute to l8 AMTs such as computer-aided design...