> We provide systematic evidence on the economic damages from espionage to US firms and industries.. revenues and R&D expenditures at targeted firms decline by roughly 40% within five years.. exports in targeted sectors decline by 60% over a decade.. espionage has clear economic harms to targeted firms and US industry, but firms are puzzlingly unresponsive in how they manage innovation.
The authors are surprised that companies which have been victims of economic espionage continue to patent their inventions.
But when you consider that the large majority of unintended knowledge transfer occurs through employees moving to other companies, surely patenting makes more sense? At least you get to go after competitors who are using your invention.
Abstract excerpt
> We provide systematic evidence on the economic damages from espionage to US firms and industries.. revenues and R&D expenditures at targeted firms decline by roughly 40% within five years.. exports in targeted sectors decline by 60% over a decade.. espionage has clear economic harms to targeted firms and US industry, but firms are puzzlingly unresponsive in how they manage innovation.
The authors are surprised that companies which have been victims of economic espionage continue to patent their inventions.
But when you consider that the large majority of unintended knowledge transfer occurs through employees moving to other companies, surely patenting makes more sense? At least you get to go after competitors who are using your invention.