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The benefits of product innovations for firms strongly depend on their ability to develop complementary appropriability means, including intellectual property (IP) rights. This paper aims at assessing the interrelated effects of two types of IP rights, namely patents and trade marks, considering them in their core function as legal protection devices. Based on a supermodularity analysis, we show that the complementary relationship between trade marks and patents is not straightforward. Depending on the level of appropriability of advertising expenditure enabled by trade marks, they are found to be either complementary or substitutable to patents. Based on a data set encompassing the IP activity of French publicly tradedfirms, we find that patents and trade marks are complementary in life science sectors (pharmaceutical products and health services), but substitute in high-tech business sectors (computer, electronic and optical products and electrical equipment).
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Papers that cite the same references — the relational fallback while embeddings are still backfilling.
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