China JiLiang University
Empirical Study on the Implementation and
Analysis of Influence Factors of Enterprise
Patent ——Based on Survey of China
Li ying Wang
Doctor / Professor
Mingshun Song Professor
27/6/2011
Content
1
INTRODUCTION
2
RELATED STUDIES OF PATENT
IMPLEMENTATION
3
METHOD
4
RESULTS
5
DISCUSSION
Li ying Wang Doctor/Professor
INTRODUCTION
Quality and quantity of patents are not only an
important foundation for national economic strength,
but also a significant manifestation of the core
competitiveness of enterprises
Li ying Wang Doctor/Professor
INTRODUCTION
coordination of technical innovation results
transforming innovation into IP resources
The role of
the patent system
and market competitive advantages
providing a solid operational foundation
and driving force for independent innovation
Li ying Wang Doctor/Professor
INTRODUCTION
providing data
support and
decision
references
the characteristics and impact factors of
the enterprise patents implementation
the patent is an
important
indicator of
technological
progress
advancement of
innovation
Li ying Wang Doctor/Professor
decision
references
rapid
transformation
from scientific and
technological
achievements into
practical
productivities
From scientific
to productivities.
INTRODUCTION
Therefore, it is of practical importance to start an empirical
research based on Zhejiang provinces in China.
in lack of
innovation
resources
disadvantage
industrial
structure
the patent
activities rank
at the
forefront in
China
How about Zhejiang provinces in China?
Li ying Wang Doctor/Professor
Content
1
INTRODUCTION
2
RELATED STUDIES OF PATENT
IMPLEMENTATION
3
METHOD
4
RESULTS
5
DISCUSSION
Li ying Wang Doctor/Professor
RELATED STUDIES OF PATENT
IMPLEMENTATION
Patent Implementation
the manufacturing, use,
offer to sell, sales and
importing of the patented
products by the patentee
himself or by an granted
party for human
production and business
purposes
Li ying Wang Doctor/Professor
or the use of patented
methods and the use,
offer to sell, sales and
importing of the
products directly
obtained with the
patented methods
Patent implementation is impacted by many
factors
Ginarte
and Park
1997
Lerner
2002
– the impact factors of patent protection and implementation are the
enterprise R & D level, market characteristics and international
collaboration
– the level of economic development, the political environment and the
legal tradition are three important factors impacting patent protection
and implementation
Hall and
Harhoff
2004
– the establishment of examination system after patent grant had a
positive effect on the obtaining of technological information from a
third party, especially from a competitor.
Fan
zaifeng
2004
– that technology and system are equally important in promoting economic
growth and that for China it is particularly important to focus on
intellectual property system in the protection and encouragement of
technology innovation
Conclude
2011
– is impacted by relevant policies and regulations, market characteristics,
regional economic development, enterprise R&D levels etc.
Li ying Wang Doctor/Professor
Content
1
INTRODUCTION
2
RELATED STUDIES OF PATENT
IMPLEMENTATION
3
METHOD
4
RESULTS
5
DISCUSSION
Li ying Wang Doctor/Professor
METHOD
• In order to understand the basic situation of enterprises
patent implementation, the National Intellectual Property
Office started a sampling survey of patent grant from 2005
to 2007 in Chinese enterprises.
• The investigation was carried on through stratified sampling
and random sampling, matching the patents according to
different years and types.
• The survey focused on the basic situation of the patentees,
the patentee R & D state, the implementation of granted
patents and entrepreneurs, etc.
Li ying Wang Doctor/Professor
METHOD
• The subjective included 2100 granted patents in Zhejiang
Province, the effective questionnaire number is 1889,
including 521 invention patents, 657 utility patents and 711
design patents.
• A total of 863 enterprises participated in this survey,
including 639 privately held enterprises (74%);
• The investigated enterprises included 395 small enterprises
(46%); 364 medium-sized enterprises (42%);
• The surveyed enterprises covered a wide range of businesses
in different industries, mainly in the manufacturing field
(71%).
Li ying Wang Doctor/Professor
Content
1
INTRODUCTION
2
RELATED STUDIES OF PATENT
IMPLEMENTATION
3
METHOD
4
RESULTS
5
DISCUSSION
Li ying Wang Doctor/Professor
RESULTS
Pulling Factor
of Impacting
Patent
Implementation
Market
Economic
System
F1
F2
F4
F3
Patent Implementation is impacted by four important factors.
Li ying Wang Doctor/Professor
RESULTS
1736 have been
implemented in 1889
granted
Surveypatents;
Gross the
implementation rate is
Implement
Gross
91.90%.
2000
1800
1600
1400
1200
1000
800
600
400
200
0
In the
Implementation Phase
Nonperformance
Seedtime of
Implementation
Invention
Patents
Utility
Patents
Design
Patents
Gross
Figure 1 Situation and Phase of Enterprise Patent Implementation
Li ying Wang Doctor/Professor
RESULTS
The implementation rate of
invention patent is 85.60%,
slightly lower than that of utility
patent and design patent.
2000
1800
1600
1400
1200
1000
800
600
400
200
0
Survey Gross
Implement Gross
In the
Implementation Phase
Nonperformance
Seedtime of
Implementation
Invention
Patents
Utility
Patents
Design
Patents
Gross
Figure 1 Situation and Phase of Enterprise Patent Implementation
Li ying Wang Doctor/Professor
RESULTS
2000
1800
1600
1400
1200
1000
800
600
400
200
0
Survey Gross
88% of implemented
patents are still in the
implementation phase
Implement Gross
In the
Implementation Phase
Nonperformance
Seedtime of
Implementation
Invention
Patents
Utility
Patents
Design
Patents
Gross
Figure 1 Situation and Phase of Enterprise Patent Implementation
Li ying Wang Doctor/Professor
RESULTS
30%
25%
20%
15%
10%
5%
0%
unclear
no profit
over50,000,000Y
5,000,00010,000,000Y
10,000,00050,000,000Y
500,0001,000,000Y
1,000,0005,000,000Y
100,000300,000Y
300,000500,000Y
50,000-100,000Y
10,000-50,000Y
Under 10,000Y
Invention Patents
Utility Patents
Design Patents
The actual profits obtained
from patent
implementation between
500,000 to 5 million takes
up one third in proportion,
Figure 2 Profit of Enterprise Patent Implementation about Three Patent Type
Li ying Wang Doctor/Professor
RESULTS
30%
25%
20%
15%
10%
5%
0%
unclear
no profit
over50,000,000Y
the commercial profits
of invention patents is
higher than that of
utility patents and
design patents.
5,000,00010,000,000Y
10,000,00050,000,000Y
500,0001,000,000Y
1,000,0005,000,000Y
100,000300,000Y
300,000500,000Y
50,000-100,000Y
10,000-50,000Y
Under 10,000Y
Invention Patents
Utility Patents
Design Patents
Figure 2 Profit of Enterprise Patent Implementation about Three Patent Type
Li ying Wang Doctor/Professor
RESULTS
Table1 Situation of Patent Implementation about Different Area of Zhejiang
and Different Type Enterprise
Based on the patent implementation situation, the
patent implementation rate in the five investigated
area including Hangzhou, Ningbo, Shaoxing,
Taizhou and Jinhua is above 89%;.
Li ying Wang Doctor/Professor
RESULTS
Table1 Situation of Patent Implementation about Different Area of Zhejiang
and Different Type Enterprise
more than two-thirds of the
surveyed companies are
private enterprises;
Li ying Wang Doctor/Professor
RESULTS
Table1 Situation of Patent Implementation about Different Area of Zhejiang
and Different Type Enterprise
nearly 80% are small and
medium enterprises
Li ying Wang Doctor/Professor
RESULTS
Table1 Situation of Patent Implementation about Different Area of Zhejiang
and Different Type Enterprise
But the aid of agencies is not high,
accounting for an average of 33.03%;
The introduction of intermediary service organization
construction needs to be enhanced and that the
further improvement of patent polity is of great
importance in the promotion of patent implementation.
Li ying Wang Doctor/Professor
RESULTS
Pulling Factor
of Impacting
Patent
Implementation
Market
Economic
System
Awareness
of Patent
F1
F2
F4
F3
Driving Factor
of Impacting
Patent
Implementation
Patent Implementation is impacted by four important factors.
Li ying Wang Doctor/Professor
RESULTS
• It is shown that 83% of the 863 patentees consider patent implementation
as an important driving force of business development;
• 92% agree•The
that survey
patent implementation
enhance the
shows that thewill
application
of enterprise’
patent is
visibility; not only for the protection of patent results, but for
benefits
produced by patent
implementation
as
• 96% agreethe
that
patent implementation
will improve
market
well.
competitiveness;
• 82% agree that patent implementation contributes to making benefits;
• 78% agree that the application of as many patents as possible is one of
the development strategies;
• 84% agree that the enterprises should have a clear patent strategy;
• 82% disagree with the depreciation of patent implementation.
Li ying Wang Doctor/Professor
RESULTS
• The survey about the promotion measures of patent
implementation showed that the patent
implementation is mainly promoted by designated
person or special department through incentives for
relevant personnel.
• The use of patent to take up the market and for
technical reserves shows the constantly reinforced
business awareness in patent application and
utilization.
Li ying Wang Doctor/Professor
RESULTS
Pulling Factor
of Impacting
Patent
Implementation
Market
Economic
System
Awareness
of Patent
F1
F2
F4
F3
Integrated
Patent
Utility
Capability
Driving Factor
of Impacting
Patent
Implementation
Key Factor of
Impacting
Patent
Implementation
Patent Implementation is impacted by four important factors.
Li ying Wang Doctor/Professor
RESULTS
Table2 Fashion and Situation of Enterprise Patent Implementation
88.99% of the
1889 patents are
“self-implemented”.
•Therefore, enterprises should promote
collaborative development of patent strategy,
enterprise technology innovation strategy and
management strategy, strengthening patent
technology trade, making comprehensive use
of various means to manage and protect
patented.
the granted and transferred
enterprises are mainly registered
enterprises within territory
In 2.92% granted patents and
transferred patents, only 1.06% are
involved in transfer
Li ying Wang Doctor/Professor
RESULTS
Pulling Factor
of Impacting
Patent
Implementation
Ultimate Factor
of Impacting
Patent
Implementation
Market
Economic
System
Awareness
of Patent
F1
F2
F4
F3
R&D
Capability
Integrated
Patent
Utility
Capability
Driving Factor
of Impacting
Patent
Implementation
Key Factor of
Impacting
Patent
Implementation
Patent Implementation is impacted by four important factors.
Li ying Wang Doctor/Professor
RESULTS
Table3 R&D Capability and Situation of Enterprise Patent Implementation
Showing that the increase of R
& D investment will result in
the increase of patent quantity
and the enhancement of
patent quality.
Li ying Wang Doctor/Professor
the enterprises with more
than 10% R & D investment
are the least in amount and
the least number of patents,
while the average number
of implemented patents is
2.42, , ranking the highest,
RESULTS
Table3 R&D Capability and Situation of Enterprise Patent Implementation
which illustrates that
the patent
implementation
methods in these
enterprises are richer
and that the transfer
and grant
implementation rates
are higher.
Li ying Wang Doctor/Professor
Thus, the enhancement
of R & D investment will
improve patent quality,
providing sound basis for
patent technical trading.
but their
implemented rates
rank the highest
Meanwhile, from
the selfimplemented
patents point of
view, the
enterprises with
more than 10%
R&D
investment rates
is slightly lower
in selfimplemented
rates than the
others,
RESULTS
Table3 R&D Capability and Situation of Enterprise Patent Implementation
53.30% enterprises
are with an R & D
investment rates
below 5%, including
only 20.65% invention
patents
While in enterprises
with more than 10%
proportion of R & D
investment funds in
sales, 40.70% of the
patents are design
patents
Li ying Wang Doctor/Professor
Private Enterprises,
need to speed up
technological progress
and structural upgrades,
to increase R & D
investment and to
promote the output and
implementation of
invention patents.
RESULTS
Table4 Comparative data to distinguish the R&D time and R&D costs of
three types of enterprise granted patents
55.42% of the patents
are with an R & D time
below one year
patents’ R & D processes
are in short and medium
terms.
R & D efficiency has been improved
in general, but too short patent
invention time may lead to the
questioning of patent quality.
Li ying Wang Doctor/Professor
RESULTS
Table4 Comparative data to distinguish the R&D time and R&D costs of
three types of enterprise granted patents
79.45% of the patents
are with an R & D costs
below one million yuan,
44.91%
of that
the invention
The results
show
the R & D
patents’
costssurveyed
are
investment costs
of most
between
100,000
yuan
enterprises
are below
one million
1 million patents’
yuan, R &
yuan , that thetoinvention
D costs are slightly higher than the
44.60%
of and
utilitydesign
costs of utility
patents
patents
andoverall
56.26%
of
patents, and
that the
amount
design
patents
of investment
input
is notare
large.
below 100,000yuan
Li ying Wang Doctor/Professor
RESULTS
Table5 Comparative data to distinguish the R&D Methods and
Innovation types of three types of enterprise granted patents
originally innovative
patents only take up a
proportion of 28.32%,
The invention patents
qualities of the surveyed
enterprises dominated
by small and medium
private enterprises need
to be improved,
Should continuous
enhancement of
independent innovation
capability.
Li ying Wang Doctor/Professor
RESULTS
Table5 Comparative data to distinguish the R&D Methods and
Innovation types of three types of enterprise granted patents
83.32% of the
enterprises’ patents
are self-developed
and are in lack of
positive cooperation
with institutions,
research colleges
and foreign
institutions.
Therefore, the strengthening of
research and production cooperation
will promote innovation capability,
Li ying Wang Doctor/Professor
Content
1
INTRODUCTION
2
RELATED STUDIES OF PATENT
IMPLEMENTATION
3
METHOD
4
RESULTS
5
DISCUSSION
Li ying Wang Doctor/Professor
DISCUSSION
Market Economic
System
Awareness of
Patent
Integrated Patent
Utility Capability
R&D
Capability
•The enhancement of patent policy guidance and the creation of
a favorable market environment for patent implementation are
crucial in the jobs of relevant government departments.
•The strengthening of strategy operation and planning on
intellectual property rights should be the focus of business
management.
•The facilitating of the construction of trading platform are
transferred and the strengthening of the capability in comprehensive
use of patents have become a major part in the promotion of patent
implementation.
•Enhancing independent innovation capability is the basis for the
implementation of enterprise patents.
Li ying Wang Doctor/Professor
DISCUSSION
The four conclusions summarize
that the strengthening of patent
implementation is a systematic
project with close integration of
technology innovation, market
innovation and management.
Li ying Wang Doctor/Professor
The resulting revelations are of
greater significance for SMEs
and private enterprises. Further
relevant empirical research
supports are required for the
analysis of the patents
implementation of enterprises in
other types.
China JiLiang University
The End
Thank you
for your attention!
Li ying Wang Doctor/Professor