• Journal of Korea Technology Innovation Society
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• v.16 no.4
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• pp.1090-1108
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• 2013

Recently national technology commercialization policy using the outcomes of public R&D has been promoting the activities of technology transfer and licensing. Firms also are considering licensing strategies to make great strides and strengthen their future competitiveness. In the licensing deals, objective and reasonable royalty determination is required to be accepted for both negotiation parties. This study analyzed the appropriate royalty range for various types of business and established three royalty influential factors with ten valuation items to explain royalty difference. This study suggested new method to estimate rationally reasonable running royalty rate, combining the appropriate royalty range from classic 25% rule and the result evaluated from royalty influential factors. The adequacy of royalty range from classic 25% rule is confirmed because its range is similar to that of royalty of transfer cases. The final estimate of running royalty can be made from linear function for royalty determination using the results of royalty range and royalty influential factors. This method suggested here is expected to practically useful to determine an appropriate running royalty rate for licensing negotiation.

• Journal of Technology Innovation
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• v.12 no.2
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• pp.227-245
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• 2004

Studies on compensation structures of international technology licensing show that the level of intellectual property protection in the host market and the favorableness of the host country's economic environment are positively related to the use of running royalty-based compensation structure. Lump-sum fee or fixed royalty compensation is more likely to be used in the introduction and decline stages of the technology life cycle, and running royalty compensation in the growth stage. The international experience and the size of the licensor company are positively related to the use of running royalty. In this theoretical context, this paper analyzes the choice of compensation structures in Korean technology imports. The paper uses the officially reported data to analyze the compensation structures. It analyzes the characteristics of the compensation structures in terms of fixed royalty and running royalty by licensor country, group of licensor countries and size of licensee companies.

• Journal of Technology Innovation
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• v.13 no.3
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• pp.131-151
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• 2005

Industrial Technology Development Program enables the recipient to set up technology infrastructure and to facilitate technology diffusion. In return, government charges royalty from the program recipient. However, the current royalty system is not in the effective form. This study analyzes the various aspects of royalty collection methods applied to the Industrial Technology Development Program and recommend the following: (1) employ the combination of fixed amount royalty and running royalty with predetermined portion of revenue generated, (2) adjust the royalty collection duration by applying product life cycle, and (3) devise new program to link extra-gain from royalty collection with commercialization and other means to increase the effectiveness of research and development activities.

• Journal of the Korean Society of Costume
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• v.49
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• pp.125-136
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• 1999

The present study was conducted to analyze(1) if there are any differences in jean's brand royalty according to the age·sex·educational background and income of consumers (2) the criteria for store choice by jean's brand royalty of consumers (3) the use of information souces by jean's brand royalty of consumers. The research method employed was normative-descriptive survey and questionnaires were main instrument to gather research materials. The survey was implemented from July 1st 1998 to the schools and two colleges and those who work at a comuter-related company and at a trade company. The data gathered was analyzed by mean standard deviation t-test ANOVA and Duncan -multiple range test. The results are summarized as follows: (1) 58.6% of the respondents were categorized as the brand loyalty group that was bigger than the non-brand loyalty group (41.4%) People in their late 2-'s were inclined to have the highest brand loyalty for jeans People in university and above had relatively higher brand royalty than to people with a high school or lower (2) Brand royalty group paid more attention on the quality on the quality of the fabric use; the trands of the products: brand name of the product: the distance of the store location : and the comfortable atmosphere of the store. Pleasant and kind services of the salesperson was considered as more important factor for store selection by the non-brand royalty group than by brand royalty group. (3) Almost all the information sources were used more often by brand royalty group than non-brand royalty group. For both groups their own experiences is most important information sources. The results shows that consumers have high brand loyalty for jeans product and also have many differences not only in the usage of information sources but also in the store selection criteria accorrding to the level of jeans brand loyalty . Therefore those industries carrying jeans should these points on their marketing strategies.

• Journal of Korea Technology Innovation Society
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• v.15 no.3
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• pp.700-721
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• 2012

This paper deals with methods for determining the reasonable royalty rates in the valuation of patents. To calculate the reliable reasonable royalty rate of a patent, we review pros and cons of the 25% rule royalty calculating method and the recent trend of this method. We also review the game theory of Nash Bargaining equation and review the Investment of Rate of Return Method according to the financial analysis. Next, we refer to the reasonable royalty damage cases among the recent patent infringement cases in USA and analyze the corresponding patents. We extract the patent indicators from the patent bibliographic information. Finally, we obtain a regression model for calculating a reasonable royalty rate using the patent indicators and the reasonable royalty rates in the recent patent infringement cases.

• Journal of Korean Society of Industrial and Systems Engineering
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• v.25 no.3
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• pp.16-27
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• 2002

This paper is mainly interested in customer's(fan's) royalty to professional sports in sports industry. The royalty is studied with the royalty to several products and a service, so that we can obtain the comparison between both the former and the latter royalty. Interested professional sports, products and service are baseball, basketball, soccer, beer, cu, cola/cider, etc, and we will call each of them 'item'. The seven related hypotheses are considered. In hypotheses the dependent variable is royalty to nine items, and the independent variables are rune items, and customer's sex and major. For testing hypotheses, a questionaire is used, and reliability is checked with Cronbach's Alpha and correlation coefficients. For some items the royalty is significantly strong. Rather, even if some item has bad quality, it is found that customers can be royal to that item. We can identify some of those items through the results of this study. The strong significant results will be useful for the customer management. Additional studies are required for nonsignificant results which seems to be useful, and they are noted in the final part of the paper.

• Knowledge Management Research
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• v.11 no.1
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• pp.37-50
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• 2010

Bioharmaceutical technologies have consistently been areas in which large licensing agreements have been negotiated. However, there are very limited informations in the open literature on how its running royalty rates are determined and no specific methods are yet provided. The purpose of this study is to suggest an appropriate method for the estimation of running royalty of bioharmaceutical technology in licensing agreements. Here distribution of risk-adjusted operating margins are obtained by simulation using statistics of success rates in the stage of clinical trials and profit margins. Three factors based on technology, business and license legal terms are considered and combined as licensing competitiveness level. Finally, reasonable running royalty is estimated by combining simulated distribution and licensing competitiveness level. This suggested method is expected to practically useful for licensor to establish an appropriate running royalty rate for licensing.

• Proceedings of the Technology Innovation Conference
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• 2004.06a
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• pp.151-169
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• 2004

Studies on compensation structures of international technology licensing show that the level of intellectual property protection in the host market and the favorableness of the host country's economic environment are positively related to the use of running royalty-based compensation structure. Lump-sum fee or fixed royalty compensation is more likely to be used in the introduction and decline stages of the technology life cycle, and running royalty compensation in the growth stage. The international experience and the size of the licensor company are positively related to the use of running royalty. In this theoretical context, this paper analyzes the compensation structures of technology import in Korea. The paper uses the officially reported data to analyze the compensation structures. It analyzes the characteristics of the compensation structures in terms of fixed royalty and running royalty by licensor country, group of licensor countries and size of licensee companies.

• Korea Trade Review
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• v.46 no.6
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• pp.225-238
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• 2021

This study analyzed the recent precedents of the Korean Supreme Court's Royalty and License fee on this issue and presented implications for future taxation of Royalty and License fee and digital content imports related to reproduction rights. If the price related to imported goods and the price not related to them are combined, it is necessary to revise the statutes to supplement the allocation method of royalty and license fee. In addition, if there is an agreement or a back contract for intellectual property rights through the headquarters or branch office other than the trading party, a method of inducing the importer to voluntarily report it when reporting imports should be considered. Whether Royalty and License fee is taxed or not must be determined after examining the various contract details and circumstances of the transaction.

• The Journal of Society for e-Business Studies
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• v.23 no.1
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• pp.47-63
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• 2018

This study suggested quantitative models to calculate a royalty rate as an important input factor of the relief from royalty method which has the characteristics of income approach method and market approach method that are generally used in the valuation of intangible assets. This study built a royalty rate regression model by referring to the patent infringement damages cases based on royalties, i.e., by using the royalty rates as a dependent variable and the patent indexes of the corresponding patent right as independent variables. Then, a logistic regression model was constructed by referring to inter-partes review cases of patent rights, i.e. by using not-unpatentable results as a dependent variable and the patent indexes of the corresponding patent right as independent variables. A final royalty rate was calculated by matching the royalty rate from the royalty rate regression model with a not-unpatentable probability from the logistic regression model. The suggested royalty rate was compared with the royalty rate obtained by the traditional methods to check its reliability.