%0 Journal Article %1 Machostadler2007 %A Machostadler, I %A Perezcastrillo, D %A Veugelers, Reinhilde %D 2007 %J International Journal of Industrial Organization %K Industry–science licensing,Technology offices relations,Technology transfer %N 3 %P 483--510 %R 10.1016/j.ijindorg.2006.06.001 %T Licensing of university inventions: The role of a technology transfer office %U http://linkinghub.elsevier.com/retrieve/pii/S016771870600083X %V 25 %X We develop a theoretical model to explain the specific role of Technology Transfer Offices (TTOs) in licensing university inventions. Using a framework where firms have incomplete information on the quality of inventions, we develop a reputation argument for the TTO to reduce the asymmetric information problem. Our results indicate that a TTO is often able to benefit from its capacity to pool innovations across research units (and to build a reputation) within universities. We identify when the technology seller will have an incentive to “shelve” some of the projects, thus raising the buyer's beliefs on expected quality; this results in fewer but more valuable innovations being sold at higher prices. We explain the importance of a critical size for the TTO to be successful as well as the stylized fact that TTOs may lead to fewer licensing agreements but higher income from innovation transfers.

@article{Machostadler2007, abstract = {We develop a theoretical model to explain the specific role of Technology Transfer Offices (TTOs) in licensing university inventions. Using a framework where firms have incomplete information on the quality of inventions, we develop a reputation argument for the TTO to reduce the asymmetric information problem. Our results indicate that a TTO is often able to benefit from its capacity to pool innovations across research units (and to build a reputation) within universities. We identify when the technology seller will have an incentive to “shelve” some of the projects, thus raising the buyer's beliefs on expected quality; this results in fewer but more valuable innovations being sold at higher prices. We explain the importance of a critical size for the TTO to be successful as well as the stylized fact that TTOs may lead to fewer licensing agreements but higher income from innovation transfers.}, added-at = {2012-02-27T06:11:36.000+0100}, author = {Machostadler, I and Perezcastrillo, D and Veugelers, Reinhilde}, biburl = {https://www.bibsonomy.org/bibtex/261c6af9b8bbf6c3b2f6fedfd42896223/kamil205}, doi = {10.1016/j.ijindorg.2006.06.001}, file = {:Users/Miguel/Dropbox/Escola/Artigos/Machostadler, Perezcastrillo, Veugelers\_2007\_Licensing of university inventions The role of a technology transfer office.pdf:pdf}, interhash = {004ce42042a205ad15f3ae0f76fec6b2}, intrahash = {61c6af9b8bbf6c3b2f6fedfd42896223}, issn = {01677187}, journal = {International Journal of Industrial Organization}, keywords = {Industry–science licensing,Technology offices relations,Technology transfer}, month = jun, number = 3, pages = {483--510}, timestamp = {2012-02-27T06:11:41.000+0100}, title = {{Licensing of university inventions: The role of a technology transfer office}}, url = {http://linkinghub.elsevier.com/retrieve/pii/S016771870600083X}, volume = 25, year = 2007 }