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Abstract

This study employs a panel threshold regression model to test whether the patent h-index has a threshold effect on the relationship between patent citations and market value in the pharmaceutical industry. It aims to bridge the gap in extant research on this topic. This study demonstrates that the patent h-index has a triple threshold effect on the relationship between patent citations and market value. When the patent h-index is less than or equal to the lowest threshold, 4, there is a positive relationship between patent citations and market value. This study indicates that the first regime (where the patent h-index is less than or equal to 4) is optimal, because this is where the extent of the positive relationship between patent citations and market value is the greatest.

Object

h-index