Intellectual property strategy for competitive advantage

Abstract

The objective of this paper is to examine the correlation between intellectual property (IP) strategy and competitive advantage and performance among the information technology (IT) companies operating in Pune, India. Primary data from survey of managers responsible for intellectual property in the IT companies and secondary published data from annual company financial reports were used to conduct statistical analysis (Spearman’s rho and Kendall’s tau), focusing on the objectives of the study. The results of the study show that there is a significant impact of intellectual property strategy to competitive advantage and company performance in the IT industry in India. IP needs to be used as a strategic tool by top management to compete effectively in the marketplace and periodic IP audit needs to be done to valuate the intangible assets owned by the company. Various intangible assets valuation methods practiced globally have also been explored in this study, for Indian companies to adapt. NASSCOM, the Indi...