Abstract: Innovation is more important in any companies.
However, it is not easy to measure the innovation performance
correctly. Patent is one of measuring index nowadays. This paper
wants to purpose an approach for valuing patents based on market
reaction to patent infringement litigations. The interesting
phenomenon is found from collection of patent infringement litigation
events. That is if any patent litigation event occurs the stock value will
follow changing. The plaintiffs- stock value raises some percentage.
According to this interesting phenomenon, the relationship between
patent litigation and stock value is tested and verified. And then, the
stock value variation is used to deduce the infringed patents- value.
The purpose of this study is providing another concept model to
evaluate the infringed patents. This study can provide a decision assist
system to help drafting patent litigation strategy and determine the