Membership, governance, and lobbying in standard-setting organizations

Clemens Fiedler, Maria Larrain, Jens Prufer

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Standard-setting organizations (SSOs) are collectively self-governed industry associations, formed by innovators and implementers. They are a key organizational form to agree on and manage technical standards, and form the foundation for many technological and economic sectors. We develop a model of endogeneous SSO participation that highlights different incentives for joining (namely licensing, learning, and implementation). We analyze equilibrium selection and conduct comparative statics for a policy parameter that is related to
implementer-friendly Intellectual Property Rights policies, or alternatively, minimum viable implementation. The results can reconcile existing evidence, including that many SSO member firms are small. The extent of statutory participation of implementers in SSO control has an inverted U-shape effect on industry profits and welfare.
Original languageEnglish
Article number104761
JournalResearch Policy
Issue number6
Early online date14 Mar 2023
Publication statusPublished - Jul 2023

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