Collateral damage for R&D manufacturers: how patent sharks operate in markets for technology

Patent sharks, small firms that exploit information asymmetries in markets for technology to gain patent-based competitive advantages, challenge established theory by which (i) markets for technology benefit large firms and (ii) intellectual property rights systems strictly support markets for technology. Empirically linking the sharks' different assault strategies to the patents they deploy, we illustrate that patent sharks will likely be an enduring phenomenon in markets for technology. We discuss policy and strategy implications.