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Corporate Strategy | "Patent Licensing & its Role in Firm's Growth"

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Patent Licensing & its Role in Firm's Growth

- by Prof. (Dr.) R.P.Verma*
Dr. Arabinda Bhandari*

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Page - 10

At The national level, indicators of technology licensing also show significant increases. In European countries, OECD data on receipts from international licensing and transfers of patents show steep increases in France and Germany during the 1990s.
In France, receipts increased by more than a factor of seven between 1990 and 2003 from EIR 330 million to EUR 2.4 billion (not taking into account inflation). While in Germany they doubled from EUR 1.3 billion to EUR 2.7 billion. In Contrast, receipts remained relatively flat in Italy at roughly EUR 200 million to EUR 300 million per year.

In Japan, patent licensing revenue from foreign parties totalled JPY 340 billion in fiscal year 2002, and Japanese firms spent approximately JPY 210 billion on foreign licenses, yielding a surplus of JPY 130 billion. Other work indicates that international licensing has increased significantly in Japan since 1994 and accounts for most of the increase in total licensing activity (Motohashi, 2005).

Figure 2

Receipts from international patent licenses and sales in Europe



Source : : OECD Technology Balance of Payments database

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* Contributed by: -
Prof. (Dr.) R.P.Verma,
MASD (USA), MRES (London),
Ex. H.O.D & Dean,
Faculty of Commerce,
Ranchi University, Ranchi,
Dr. Arabinda Bhandari, MBA, Ph.D.
(Strategic Management)


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