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The new patent law and enterprise digital technology Innovation: An analysis of regulatory effects based on financing constraints

Year: 2025

Type: article

Abstract: This study investigates the impact of intellectual property (IP) protection on corporate digital technology innovation, using data from Chinese listed companies spanning from 2013 to 2022. It explores the context of the fourth amendment to the Patent Law. The findings indicate that IP protection plays a crucial role in fostering digital technology innovation within firms, while financing constraints negatively affect such innovation. Additionally, IP protection indirectly promotes digital technology innovation by easing financing constraints. Further analysis reveals that the effect of financing constraints on innovation varies significantly between high-tech and non-high-tech industries. Moreover, corporate leverage demonstrates a threshold effect in the relationship between IP protection and digital technology innovation, with the impact differing at various leverage levels.

Source: International Review of Economics & Finance

DOI: 10.1016/j.iref.2025.104234

Authors: Jian Liu, Chuyun Wang, Ziyun Zhao

Institutions: China Agricultural University, Shenzhen Polytechnic University, Victoria University

Language: English

Topic: Intellectual Property and Patents

Subfield: Management of Technology and Innovation

Field: Business, Management and Accounting

Domain: Social Sciences

SDGs: Industry, innovation and infrastructure, Peace, justice, and strong institutions, Decent work and economic growth

Open Access status: gold

Estimated APC paid: $1,930