Evaluation of Innovation Expenditures and Patents in the Polish Industry
Affiliation:
1. Faculty of Economies and Finance,Kazimierz Pulaski University of Technology and Humanities in Radom, Radom, Poland
Abstract
The aim of the research has been to identify the elasticity of process and product innovation expenditures, the number of inventions as well as the number of patents in terms of net revenues generated from the sales of new and significantly improved products in the Polish industry over the years 2015-2017. Furthermore, a focus was also placed on the determination of the marginal and average productivity of innovation expenditures, as well as that of inventions and patents as observed in the Polish industry within the above-indicated period. The calculated marginal and average productivity values of independent variables allow for an indication of the areas of their rational management in the Polish industry. The research shows that the elasticity of inventions is greater (0.403) than the process and product innovation expenditures (0.333). On the other hand, the second power regression performed points to the fact that the elasticity of process and product innovation expenditures is higher (0.420) than the patent expenditure (0.251) within the relative increase in net revenues generated from sales of new and significantly improved products in the industry in Poland. A hypothesis has been confirmed claiming that the elasticity of patents – be it at its lowest – does increase the level of flexibility of process and product innovation expenditures in the Polish industry. A quality verification of inventions and their distinction as intellectual and legal property in the category of patents leads to the effective use of process and product innovation outlays within the relative increase in the net revenues obtained from the sale of new and significantly improved products in the industry in Poland. The conducted research reveals a new perspective on inventions and patents. Although the number of patents may show less elasticity, patents were significant in increasing the efficiency of process and product innovation expenditures effectuated within the industry in Poland over the years 2015-2017
Publisher
World Scientific and Engineering Academy and Society (WSEAS)
Subject
Economics and Econometrics,Finance,Business and International Management
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