BusinessMore Innovative Patents could be less Successful

More Innovative Patents could be less Successful


- Advertisment -sslate

People, or companies, with more innovative ideas to patent are less likely to succeed than those who stay within the norm, research from ESSEC Business School has found.

Assistant Professor Pooyan Khashabi investigated the extent to which innovation is disclosed in pre-grant patent documents. The findings show that financial analysts can analyse information in patents before they are granted, but if the patent is extremely high quality or innovative, then they’re much less likely to understand and therefore make errors.

This could mean that people with possibly life-changing ideas may be knocked back when trying to patent their ideas. Some people may not look for patents at all as a result, and some will ignore their new and creative idea and choose to focus on a less ‘risky’ venture.

Khashabi took advantage of American Inventors Protection Act (1999) which ensures that the pre-grant public disclosure of all information is available within 18 months of the initial filings. He actually found that, on average, the pre-grant patent disclosure of corporate inventions can significantly improve the accuracy of analyst forecasts. Yet this cannot be said for more original and ‘out-there’ ideas.

By having a more accurate analysis and forecast, a business idea could be much more successful. It makes it easier to plan if the person behind the patent knows that to expect, or what to avoid. For those with a straightforward idea, these forecasts can prove to be extremely helpful. However, for more unique ideas, the forecasts, or lack of, would not prove to be very useful.

“In fact, companies risk getting penalised by analysts for high quality research and development work,” Khashabi says. “While new ideas suggest that financial analysts increasingly have a scientific background and can digest the information, if they make errors, it’s a problem. Investors like predictability and, as soon as a company is not predictable, stock prices fall and the company suffers, so analyst accuracy is key.”

Sunshine Slate
Sunshine Slate
Sunshine Slate is your news, entertainment, music fashion website. We provide you with the latest breaking news and videos straight from the United States of America.


Please enter your comment!
Please enter your name here

Latest news

Redefining Professional Spaces: The Rise of Dual-Purpose Backyard Office Sheds in America

The American Dream Reimagined: Backyards Transforming into Profitable Workspaces

The Ultimate Fighter 31: McGregor vs. Chandler: The Battle Begins

The Ultimate Fighter 31 is set to premiere on ESPN+ on June 6, 2023, and it is sure to be a must-watch for fans of mixed martial arts.

Florida Faces Lawsuits Over Sweeping New Elections Law

The moment Florida Governor Ron DeSantis signed a sweeping elections bill into law last week, several voter-advocacy groups filed lawsuits against it.

U.S. House Votes to Rescind Student Debt-Relief Program

A new report outlined the importance of student debt relief to workers in New York and across the country.
- Advertisement -

How to Style Activewear for a Versatile Wardrobe

Learn now how to mix and match your sportswear pieces for a versatile wardrobe. Sports clothes are now part of activewear fashionista looks

Pool Builders: Your Ultimate Guide to Choosing the Right One

Building a swimming pool is a significant investment, and choosing the right pool builder is crucial to ensuring a successful project.
- Advertisement - Motel 6

Must read

Best Apps for your New Mobile Phone

We can install any app from the google play store very quickly. Let’s take a look at some most amazing apps for android mobile phones.

Survivors Call for Monument in Honor of Fallen Heroes

Congress is moving forward with plans to build the monument to honor the 3,600 Americans who have earned the nation's highest award for valor in combat.
- Advertisement -
- Advertisement -sslate

You might also likeRELATED
Recommended to you