This study tries to define a concept of technology assessment and valuation, and to analyze factors and measures of technology valuation. Technology is considered as the one of the most significant variables in the era of technology competition.
Ap...
This study tries to define a concept of technology assessment and valuation, and to analyze factors and measures of technology valuation. Technology is considered as the one of the most significant variables in the era of technology competition.
Appraisals often call for more than one valuation concept, and, with proper planning before starting the assignment, the concepts can be determined that best suit the situation and the needs of the client. Many professionals and students of science and technology policy have long been argued that technology transaction would be spurred if we provide useful measures to price technology. However valuation of technology differs from general pricing mechanism for ordinary goods in the markets. In many cases, financial institutes and individual firms hope to have guideline for technology valuation.
In this paper, the purpose of technology valuation, basic elements of technology valuation, process of valuation, trend of technology valuation in major countries are presented and analyzed. Technology valuation help to 1) identify comparable competing technologies 2) examine technological risks 3) assess technical management credibility and capability 4) list technical market risk factors 5) estimate the probability of technical and market success.
I hope this study induces more research on this field of technology valuation. Unlike other goods, technology is often elusive, intangible, and abstract. Thus, absolute value of each technology is hard to quantify and measure. However, despite of all of difficulties, technology valuation is the one of the most urgent target to be tackled in the field of science and technology policy.