Dealmaking and Marketing Technology to Product-Development Partners
Topic Guide for Technology Transfer Managers

Abstract: Understanding biotechnology and pharmaceutical commercialization alliances in the context of several evolving business models has implications for university technology transfer offices (TTOs), as well as for public policy-makers intending to promote biotechnology regionally. This chapter identifies the principal structural and economic elements of biotechnology and pharmaceutical commercialization alliances and the factors that influence partner selection for a particular alliance. The four characteristics of an alliance that generally define the allocation of value between an originator and a commercialization partner include stage of development, product supply, market opportunity, and scope. The chapter explains the types of economic terms typically found in biotechnology alliances and makes an empirical analysis of the economic terms from a sample of biotechnology alliances established between 1981 and 2000. Four specific alliances entered into at different stages of development are detailed as case studies. Several recommendations are provided for university TTOs, along with guidelines for drafting commercialization alliances.

Abstract: Given the expertise of large agricultural companies with respect to product development from cutting-edge research, these companies often choose to in-license technologies from small biotechnology companies and universities rather than relying solely on in-house efforts. This chapter provides an overview of the interest of large industry players in sourcing early-stage technologies from companies, how best to communicate those opportunities to companies, and what to expect in terms of valuing the technology and structuring a licensing deal. Large companies are generally interested in creating new products or new technologies that are commercially viable and that help establish sustainable agricultural economies. But, in addition, they generally support providing products and technologies that bolster subsistence farming and humanitarian efforts, while recognizing the need to protect the company’s intellectual property against unauthorized uses for commercial or other unintended purposes.

Abstract: This chapter describes marketing concepts and how to use them to create marketing plans for newly developed technologies in the health and agricultural sectors. The traditional marketing model invokes the “four Ps” of marketing: product, price, place, and promotion. This chapter, however, concentrates on the “five Ws” of marketing, which are more relevant to early-stage technologies: who? what? where? when? and why? The author then discusses the concept of the unique selling proposition (USP) and, finally, considers the marketing of technology transfer activities, or internal marketing.

Abstract: The management of intellectual property is all about managing innovation with the procedures and processes that are required to turn that innovation into valuable patent rights. A truly strategic approach to IP management will span conception to product market release. Integrating IP management into the R&D, advance development, and product development cycles seamlessly provides opportunities to gain and enhance IP protection while offering the potential to reduce risk and lower costs. The following chapter discusses some of the key elements of IP portfolio management and how the combination of the right IP tools, procedural know-how, and organizational attributes and behaviors can contribute to successful implementation.

Abstract: Marketing an institution’s intellectual property (IP) is essential but challenging work. This chapter provides helpful information about how to locate potential licensees, how to determine whether or not they are qualified to manage a particular technology, and how to persuade them to begin licensing negotiations. The chapter stresses the importance of self-knowledge: having a clear sense of your institution’s own IP goals, as well as the institution’s strengths and weaknesses. Having this awareness makes it possible for a technology transfer office to choose wisely when it evaluates the strengths and weaknesses of potential marketing targets. Indeed, the chapter, rather than simply providing a basic overview of the marketing process, offers concrete suggestions and tough questions for those who aim to successfully market academic intellectual property.

Abstract: License negotiations involve substantial real or potential value. They therefore should be supported by a team of experts. The essential skills and expertise needed for conducting successful negotiations include: business strategy and development for leading the negotiations, marketing for estimating commercial potential, law for evaluating IP and patents and carrying out a variety of related tasks, science and medicine for evaluating new and potential health products, manufacturing and production know-how to determine equipment and additional training needs, and finance for analyzing input from other experts on the team to combine into a comprehensive report. The strength of such a team is in its interdisciplinary composition; each of the skill areas can complement the other. From the perspective of international licensing, licensors can seek to improve the availability of health products in developing countries, possibly moving from the “traditional” approach to licensing toward one that incorporates public sector needs. The best approach for a public sector organization negotiating an agreement with a private sector entity is usually to offer initial terms that the organization would be willing to agree to if it were on the other side of the table. Negotiating a fair licensing agreement should not be seen as a process of “bargaining.” Rather, a licensing agreement is establishing, in written form, the rules of operation for an ongoing relationship where mutual trust and confidence will be necessary for success.

Abstract: A small agricultural biotechnology (agri-biotech) company needs to establish a strong IP portfolio. Such a portfolio provides a foundation for R&D, encourages outside investment and funding, and supports product commercialization. An important step in establishing an IP portfolio is in-licensing patent rights from third-party patent holders. Nonexclusive licenses typically give a company freedom to operate and open up the possibility of creating commercializable products. Exclusive licenses give a company an exclusive position for commercialization under the patents in question.

This chapter discusses in-licensing as it applies to small agri-biotech companies. It describes the types of technologies that may be subject to in-licensing, the procedures attendant upon in-licensing, and the terms that may be delineated by in-licenses.

Abstract: The mission of global health product development partnerships (PDPs) is to develop effective, affordable health products and make them available and affordable to those in need. The not-for-profit product development partnerships (PDPs) often seek for-profit partners to access essential technology, expertise, and resources. These may be early-stage companies, leveraging philanthropic and government resources to develop a platform technology or established companies building out from existing markets or testing new technologies. Such not-for-profit/for-profit partnerships require unique product development and IP (intellectual property) strategies that both recognize the company’s need for commercial benefit and deliver important health products to developing countries.

Abstract: Finding out how to market your technology to potential licensees can be a perplexing process. There is no common consensus about how to approach technology licensing, and workshops on the topic tend to offer a haphazard mix of tools and strategies that cannot be applied generally. This chapter emphasizes the importance of actively marketing your technology. It offers a systematic marketing approach supported by numerous models for contacting and prioritizing your contacts. The chapter also includes numerous helpful worksheets to guide and focus your approach. By following the steps laid out in this chapter, you will have learned a great deal about the market for your “merchandise,” its potential licensees, and its value. You may have even found a licensee!