Abstract

Previous studies have paid more attention on the modular architecture of product and organization, but the structure of technological knowledge networks has not received the same attention. This paper aims to examining the effects of knowledge networks modularity on the utility of inventions at industrial level empirically. Based on USPTO semiconductor-related patent data from 1976 to 2000, it first measures the modularity of knowledge networks and utility of inventions quantitatively, and then examines the relation between modularity and utility of inventions using Granger causality test. It is found that a long-term and stationary relationship between knowledge network modularity and the utility of innovation in the semiconductor industry and knowledge network modularity has a positive effect on the utility of inventions.

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