Numerical patent analysis with the fuzzy pay-off method

Valuing a compound real option

Mikael Collan, R. Fullér, Xiaolu Wang, József Mezei

Research output: Chapter in Book/Report/Conference proceedingConference contribution

4 Citations (Scopus)

Abstract

Numerical analysis for supporting patent application decisions is a difficult topic due to hardship in estimating the patent future accurately and because patent valuation is most often a problem with multiple stages that can be understood as compound options. We present how numerical analysis of a patent exhibiting two major stages can be done by using cash-flow scenarios as input data and a two stage valuation model based on the fuzzy pay-off method for real option valuation to generate decision-support for deciding whether to go ahead with a patent application or not. We illustrate with a numerical example and discuss the use of the results in decision support.

Original languageEnglish
Title of host publicationProceedings - 2011 4th International Conference on Business Intelligence and Financial Engineering, BIFE 2011
Pages405-409
Number of pages5
DOIs
Publication statusPublished - 2011
Event4th International Conference on Business Intelligence and Financial Engineering, BIFE 2011 - Wuhan, Hubei, China
Duration: Oct 17 2011Oct 18 2011

Other

Other4th International Conference on Business Intelligence and Financial Engineering, BIFE 2011
CountryChina
CityWuhan, Hubei
Period10/17/1110/18/11

Fingerprint

Patent analysis
Patents
Real options
Numerical analysis
Decision support
Valuation model
Scenarios
Cash flow
Option valuation
Compound options

Keywords

  • Fuzzy numbers
  • Patent valuation
  • Real options
  • Scenarios

ASJC Scopus subject areas

  • Economics and Econometrics
  • Finance

Cite this

Collan, M., Fullér, R., Wang, X., & Mezei, J. (2011). Numerical patent analysis with the fuzzy pay-off method: Valuing a compound real option. In Proceedings - 2011 4th International Conference on Business Intelligence and Financial Engineering, BIFE 2011 (pp. 405-409). [6121167] https://doi.org/10.1109/BIFE.2011.86

Numerical patent analysis with the fuzzy pay-off method : Valuing a compound real option. / Collan, Mikael; Fullér, R.; Wang, Xiaolu; Mezei, József.

Proceedings - 2011 4th International Conference on Business Intelligence and Financial Engineering, BIFE 2011. 2011. p. 405-409 6121167.

Research output: Chapter in Book/Report/Conference proceedingConference contribution

Collan, M, Fullér, R, Wang, X & Mezei, J 2011, Numerical patent analysis with the fuzzy pay-off method: Valuing a compound real option. in Proceedings - 2011 4th International Conference on Business Intelligence and Financial Engineering, BIFE 2011., 6121167, pp. 405-409, 4th International Conference on Business Intelligence and Financial Engineering, BIFE 2011, Wuhan, Hubei, China, 10/17/11. https://doi.org/10.1109/BIFE.2011.86
Collan M, Fullér R, Wang X, Mezei J. Numerical patent analysis with the fuzzy pay-off method: Valuing a compound real option. In Proceedings - 2011 4th International Conference on Business Intelligence and Financial Engineering, BIFE 2011. 2011. p. 405-409. 6121167 https://doi.org/10.1109/BIFE.2011.86
Collan, Mikael ; Fullér, R. ; Wang, Xiaolu ; Mezei, József. / Numerical patent analysis with the fuzzy pay-off method : Valuing a compound real option. Proceedings - 2011 4th International Conference on Business Intelligence and Financial Engineering, BIFE 2011. 2011. pp. 405-409
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