The use of Intellectual Property by Small and Middle-sized enterprises

Master's Thesis , 2009 , 63 Pages , Grade: 1,3

Leadership and Human Resources - Miscellaneous

Since the past half century we observe a growing importance of Intellectual Property (IP) which is often associated with a shift towards a knowledge-based economy. In knowledgebased
economies, IP protection and management have become the highly important element for business success. Intellectual Property is everywhere: it is embedded in daily-needs
products, high-tech equipment, technology, as well organizational routines. Having become crucial in modern world, Intellectual Property and knowledge capital, more than physical
capital, drive economies of different countries. About 70% of business assets today are intangibles.1
Not less important for economy are small and middle-sized enterprises (SMEs). This strategic sector covers the whole spectrum of economic fields and is a very important
contributor to sustainable economic development. Representing over 90% of all business establishments and about half or more of GDP and export shares SME sector is often
associated with a ‘backbone’ of most national economies.2
Intellectual Property is increasingly regarded as a valuable resource for individuals, firms and nations, and as a source of competitive advantage.3 Nowadays, companies are
exploiting IP rights not only for protection and security of return purposes; they increasingly use them due to strategic reasons. Numerous studies and literatures4 recognized SMEs as an
important contributor to innovation. However, there is still a little understanding of how SMEs manage their IP. Existing studies have focused mainly on large firms and,
particularly, on patenting activity, and there are still few attempts to bridge all three together: SMEs, Intellectual Property and IP management. The aim of this paper is an analysis of SME’s performance in innovation and the state of
SMEs in IP system. For this reason two main questions were formulated: ‘How do SMEs manage their IP?’ and ‘Are SMEs really disadvantaged by their size in the use of IP rights?’
In order to answer the first question, the following aspects were examined: a way of usage different protection methods by SMEs, the reasons why they apply for IP protection and
what obstacles SMEs may face in their exploitation of IP system.

Inhaltsverzeichnis

• List of Figures
• List of Tables
• List of abbreviations
• Introduction
• The world of Intellectual Property
  • What is Intellectual Property?
    • Nature of Intellectual Property: knowledge and innovation assets as important basis of IP
    • Features of Intellectual Property: uncertainty, inappropriability and indivisibility
    • The determinants of investments in Intellectual assets: Technology-push and Demand-pull
    • What are Intellectual Property Rights?
  • An analysis of IP rights from the economic perspective: Resource-based view
  • The importance of IP protection to the firm
• Introduction to SME
  • Characteristics and classification of SME
  • The role of SMEs in the economy
• Small and middle-sized enterprises in IP System
  • Innovation in the SME world
    • Strengths and weaknesses of SMEs in innovation process
    • Intellectual assets of SMEs: key influences on the innovative potential of SMEs
    • Pattern of innovation in SMEs
  • Formal and informal mechanisms used by SMEs
    • Formal protecting instruments
    • Informal IP rights
  • Reasons for using formal IP rights by SMEs
  • Perceived and real barriers faced by SMEs in exploitation of IP rights
  • Combination of IP right instruments
• Toward good practices
  • Case studies on SMEs in IP system
  • Recommendations for SME
• Conclusion
• Reference
• Appendix

Zielsetzung und Themenschwerpunkte

This paper aims to analyze the performance of SMEs in innovation and their position within the intellectual property (IP) system. It seeks to answer two key questions: 'How do SMEs manage their IP?' and 'Are SMEs really disadvantaged by their size in the use of IP rights?'

• The role of intellectual property in a knowledge-based economy and its importance for SMEs
• The strengths and weaknesses of SMEs in innovation, particularly in relation to intellectual property management
• The different formal and informal mechanisms used by SMEs to protect their intellectual property
• The barriers faced by SMEs in exploiting intellectual property rights
• Strategies for improving the use of intellectual property by SMEs

Zusammenfassung der Kapitel

The introduction highlights the growing importance of intellectual property in a knowledge-based economy and the significant role of SMEs in economic development. It emphasizes the need for a better understanding of how SMEs manage their IP, particularly in comparison to larger firms.

Chapter 1 provides a comprehensive overview of intellectual property, defining its nature, features, and economic significance. It explores the determinants of investments in intellectual assets, including technology-push and demand-pull factors. The chapter also examines the different forms of IP protection and their economic implications, drawing on the resource-based view.

Chapter 2 introduces the concept of SMEs, outlining their characteristics, classification, and crucial role in the economy. It discusses the economic weight of SMEs and their contribution to sustainable economic development.

Chapter 3 delves into the specific challenges and opportunities faced by SMEs in the IP system. It analyzes the strengths and weaknesses of SMEs in innovation, exploring the key influences on their innovative potential. The chapter examines the patterns of innovation in SMEs and the formal and informal mechanisms they employ to protect their intellectual property. It also investigates the reasons behind SMEs' use of formal IP rights and the perceived and real barriers they encounter in exploiting these rights.

Chapter 4 presents case studies on SMEs in the IP system, highlighting successful examples of IP management and utilization. It also provides recommendations for SMEs to improve their IP practices and overcome the challenges they face.

Schlüsselwörter

The key terms and focus themes of the text include intellectual property, small and middle-sized enterprises (SMEs), innovation, IP management, formal and informal IP protection, barriers to IP exploitation, and strategies for improving IP utilization by SMEs. The text examines the role of intellectual property in a knowledge-based economy, the specific challenges and opportunities faced by SMEs in the IP system, and the importance of effective IP management for SME success.

• College: University of Göttingen
• Grade: 1,3
• Author: Zhanar Sakieva (Author)
• Publication Year: 2009
• Pages: 63
• Catalog Number: V130308
• ISBN (eBook): 9783640357772
• ISBN (Book): 9783640358311
• Language: English
• Tags: Intellectual, Property, Small, Middle-sized