Regulations in Commercialization

Abstract

The study examines the problems faced by businesses when innovating and then commercializing their innovation. It is particularly focused on the role of standards, regulations and intellectual property rights in the commercialization of innovative products and services. The analysis has been conducted based on data from the Flash Eurobarometer 394 survey. We analyse the factors affecting the likelihood of a company having problems with the cost or complexity of standards, lack of standards or problems related to intellectual property rights. The actual effects of each potential problem on the commercialization of innovative products are examined using logit and ordered logit regressions. On the one hand, costly or complex standards seem to be a deterrent to the commercialisation of innovation. This is especially evident in Portugal, Italy, Poland and France. On the other hand, a lack of standards may harm the commercial success of innovation measured by the share of turnover due to innovation. Financial or non-financial government or administrative support may be an effective way to promote the commercialisation of innovation in the case of intellectual property rights. This problem is particularly significant in the fields of information and communication, manufacturing, real estate, as well as in science and technology companies.