treasurer

Assessing a firm's innovation portfolio is a challenge? Even more difficult is estimating its future value? This paper applies the principles of the Bass model of diffusion of innovation \citep{Bass:1969} to the estimation of forward citations, ``class-match" dampened forward citations, and the newly introduced Patent Rank Scores. The cumulative diffusion will be modeled using a generalized logistic function known as the Richards' curve \citep{Richards:1959}. To estimate the parameters of the the model, the Newton-Raphson method is used. Over 22,000 randomly selected patents from 1976--2008 will be individually modeled, and diffusion patterns will be classified based on the parameters of the model. Valuation of innovation can be objectively assessed, and future valuation can be predicted based on each innovation's specific diffusion pattern.

Monte J. Shaffer is a fourth-year Ph.D. student and job market candidate (2011) in the Department of Marketing at Washington State University. Monte is currently working on his marketing dissertation in Entrepreneurial Innovations. Prior to joining Washington State University, Monte received a Bachelor in Mathematics / MBA in Marketing from Brigham Young University (BYU) in Provo, UT.

My interests in marketing strategy are related to entrepreneurs, entrepreneurial startups, and their perceptions. Specifically, how do they make sense of the information they perceive in the market place and how do these perceptions influence their marketing strategies for their entrepreneurial ideas.