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We study the relationship between patents and actual product innovation in the market, and how this relationship varies … consumer goods sector. We find that patent filings are positively associated with subsequent product innovation by firms, but … at least half of product innovation and growth comes from firms that never patent. We also find that market leaders use …
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Classical patent literature assumes that patents grant well-defined legal rights to exclude others from practicing an invention. In this scenario, start-up companies benefit from the exclusive right to commercialize patent-protected inventions and the certification effect of patents which...
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