IMPACT OF INTELLECTUAL PROPERTY RIGHTS PROTECTION  ON VIETNAM'S EXPORTS: THE ROLE OF THIRD COUNTRIES

Jan Aldrick Sales Sendaydiego; Hoàng Thị Lệ Giang

doi:10.34238/tnu-jst.6087

IMPACT OF INTELLECTUAL PROPERTY RIGHTS PROTECTION ON VIETNAM'S EXPORTS: THE ROLE OF THIRD COUNTRIES

About this article

Received: 30/05/22 Revised: 24/06/22 Published: 24/06/22

Authors

1. Jan Aldrick Sales Sendaydiego, TNU - International School
2. Hoang Thi Le Giang , TNU - University of Economics and Business Administration

Abstract

The objective of this study is to analyze the impact of increased protection of intellectual property rights in the importing country on Vietnam's exports to these countries, in the context of the emergence of a "third country". The study used a mixed dataset covering Vietnam's exports to 79 partner countries in the period 2006-2017. The systematic GMM estimation method was applied in the study. Research results show that when there was a "third country", the increased protection of intellectual property rights in the importing country stimulated Vietnam to increase exports to the importing country market (market expansion effect). However, "market power effect" was not created perfectly by Vietnam. The reason to explain for this situation is that there was no differentiation of Vietnam export in the international market. Therefore, Vietnam should carry out research and development of goods with its own identity and superiority. At the same time, for the imitation activities restrictions from the "third countries", Vietnam needs to accelerate the pace of product innovation so that it is faster than the imitation rate of "third countries".

Keywords

Intellectual property rights protection; Export; Viet Nam; Market power; Third country

Full Text:

PDF (Tiếng Việt)

References

[1] T. O. Awokuse and H. Yin, “Does Stronger Intellectual Property Rights Protection Induce More Bilateral Trade? Evidence from China’s Imports,” World Development, vol. 38, no. 8, pp. 1094-1104, 2010, doi: 10.1016/j.worlddev.2009.12.016.

[2] M. Campi and M. Dueñas, “Intellectual Property Rights and International Trade of Agricultural Products,” World Development, vol. 80, pp. 1-18, 2016, doi:10.1016/j.worlddev.2015.11.014.

[3] W. Chen, “Do stronger intellectual property rights lead to more R&D-intensive imports?” The Journal of International Trade & Economic Development, vol. 26, no. 7, pp. 865-883, 2017, doi: 10.1080/09638199.2017.1312493.

[4] M. G. Robbani, “Trade-Related Aspects of Intellectual Property Rights and Least Developed Countries,” The Journal of World Intellectual Property, vol. 8, no. 4, pp. 565-573, 2005, doi: 10.1111/j.1747-1796.2005.tb00266.x.

[5] M. Campi and M. Dueñas, “Intellectual property rights, trade agreements, and international trade,” Research Policy, vol. 48, no. 3, pp. 531-545, 2019, doi:10.1016/j.respol.2018.09.011.

[6] K. E. Maskus and M. Penubarti, “How trade-related are intellectual property rights?” Journal of International Economics, vol. 39, no. 3-4, pp. 227-248, 1995, doi: 10.1016/0022-1996(95)01377-8.

[7] Y. Saito, “On the trade, growth, and welfare effects of intellectual property rights protection,” Southern Economic Journal, vol. 85, no. 1, pp. 235-254, 2018, doi: 10.1002/soej.12277.

[8] P. J. Smith, “Are weak patent rights a barrier to U.S. exports?” Journal of International Economics, vol. 48, no. 1, pp. 151-177, 1999, doi:10.1016/S0022-1996(98)00013-0.

[9] C.-H. Yang and R.-J. Woo, “Do stronger intellectual property rights induce more agricultural trade?: a dynamic panel data model applied to seed trade,” Agricultural Economics, vol. 35, no. 1, pp. 91-101, 2006, doi: 10.1111/j.1574-0862.2006.00142.x.

[10] E. T. Fukui, A. B. Hammer, and L. Z. Jones, “Are U.S. exports influenced by stronger IPR protection measures in recipient markets?” Business Horizons, vol. 56, no. 2, pp. 179-188, 2013, doi: 10.1016/j.bushor.2012.11.009.

[11] A. Palangkaraya, P. H. Jensen, and E. Webster, “The effect of patents on trade,” Journal of International Economics, vol. 105, pp. 1-9, 2017, doi: 10.1016/j.jinteco.2016.12.002.

[12] P. J. Smith, “Patent Rights and Trade: Analysis of Biological Products, Medicinals and Botanicals, and Pharmaceuticals,” American Journal of Agricultural Economics, vol. 84, no. 2, pp. 495-512, 2002.

[13] S.-Y. Yew, C.-C. Yong, K.-C. Cheong, and N.-P. Tey, “Does protecting intellectual property rights matter for trade? The case of China’s exports to ASEAN-5,” African Journal of Business Management, vol. 5, no. 2, pp. 524-530, 2011.

[14] K. E. Maskus and L. Yang, “Domestic patent rights, access to technologies and the structure of exports,” Canadian Journal of Economics/Revue canadienne d'économique, vol. 51, no. 2, pp. 483-509, 2018, doi:10.1111/caje.12328.

[15] M. Campi and M. Dueñas, “Intellectual Property Rights and International Trade of Agricultural Products,” World Development, vol. 79, pp. 1-18, 2016, doi: 10.1016/j.worlddev.2015.11.014.

[16] C. Mercedes and D. Marco, “Intellectual property rights, trade agreements, and international trade,” Research Policy, vol. 48, no. 3, pp. 531-545, 2019.

[17] D. Hirimuthugodage, “The Trade Related Intellectual Property Rights (TRIPs) Agreement and Agriculture in South Asia,” South Asia Economic Journal, vol. 12, no. 2, pp. 287-305, 2011, doi: 10.1177/139156141101200205.

[18] J. Tinbergen, “Shaping World Economy Suggestions for an International Economic Policy,” The Economic Journal, vol. 76, no. 301, pp. 92-95, 1962, doi: 10.2307/2229041.

[19] P. Pöyhönen, “A Tentative Model for the Volume of Trade between Countries,” Weltwirtschaftliches Archiv, vol. 90, pp. 93-100, 1963.

[20] E. Helpman, “Imperfect competition and international trade: Evidence from fourteen industrial countries,” Journal of the Japanese and International Economies, vol. 1, no. 1, pp. 62-81, 1987, doi: 10.1016/0889-1583(87)90027-x.

[21] P. Egger, M. Larch, K. E. Staub, and R. Winkelmann, “The Trade Effects of Endogenous Preferential Trade Agreements,” American Economic Journal. Economic Policy, vol. 3, no. 3, pp. 113-143, 2011, doi: http://dx.doi.org/10.1257/pol.3.3.113.

[22] E. Rasoulinezhad, “China's foreign trade policy with OPEC member countries,” Journal of Chinese Economic and Foreign Trade Studies, vol. 10, no. 1, pp. 61-81, 2017, doi:10.1108/jcefts-09-2016-0027.

[23] W.-C. Chen, “The Extensive and Intensive Margins of Exports: The Role of Innovation,” The World Economy, vol. 36, no. 5, pp. 607-635, 2013, doi: 10.1111/twec.12032.

[24] D. Natos, K. Mattas, and E. Tsakiridou, “Assessing the effect of the remote geographical position of Cyprus on its agricultural exports,” Operational Research, vol. 14, no. 3, pp. 453-470, 2014, doi: 10.1007/s12351-014-0142-0.

[25] Y. Heo and N. K. Doanh, “Trade Flows and IPR Protection: A Dynamic Analysis of the Experience of ASEAN-6 Countries,” Asian International Studies Review, vol. 16, no. 1, pp. 59-74, 2015, doi: 10.16934/isr.16.1.201506.59.

DOI: https://doi.org/10.34238/tnu-jst.6087

Refbacks

There are currently no refbacks.



Remember me