Profiting from technological innovation requires both the development of new products and the capture orappropriation of profits from them. For new product development, the interplay of marketing and R&Dhas been intensively researched. In contrast, on the issue of capturing value, which is...

Patent trolls appropriate profits from innovation solely by enforcing patents against infringers.They are often characterized as relying on low-quality patents, an assessment that, if correct,would imply that eradicating such patents would effectively terminate the troll business. Inthis paper,...

The situation of technologies searching for market opportunities is a common one in technology-based industries. We add to the technology manager‘s toolbox by developing a new tool for application identification. It is based on insights from user innovation and lead user research, with merits...

Many patent applications lapse before they are reviewed by patent examiners. In thispaper we analyze how even a lapsed patent application yields benefits to the applicant.We argue that these benefits are attributable to pendency and publication of patentapplications. Based on an analysis of all...

The existing theory of modularity explains how modular designs create value. We extend thistheory to address value appropriation. A product or process design that is modular with respect tointellectual property (IP) allows firms to better capture value in situations where knowledge andvalue...

In this paper, we open up the black box that has been the introduction of open practices into firms’ commercial R&D strategies. Most of the existing research on the phenomenon of open innovation focuses on its interorganizational aspects. In contrast, the effect that the opening of boundaries...

In this paper, I describe and analyze the phenomenon of informal development collaborationbetween firms in the field of embedded Linux, a type of open source software. Toexplain the observed phenomenon of voluntary revealing, I develop a duopoly model ofquality competition. The central...

Network externalities spur the growth of networks and the adoption of network goods intwo ways. First, they make it attractive to join a network with a large installed base.Second, they make it attractive for network members to actively recruit new members.Despite indications that this “peer...

This paper provides a quantitative study (N = 268) of patterns of free revealing offirm-developed innovations within embedded Linux, a type of open source software (OSS). Ifind that firms, without being obliged to do so, contribute many of their own developmentsback to public embedded Linux...

This paper extends recent research studying biases in venture capitalist’s decision-making. Wecontribute to this literature by analyzing biases arising from similarity between a venture capitalist andmembers of a venture team. We summarize the psychological foundations of such similarity...