A new study published in the Strategic Management Journal sheds light on how multinational firms make strategic decisions about where to pursue patent litigation in an increasingly interconnected and politically complex global environment. Rather than treating patent disputes as isolated, country-by-country legal actions, the research shows that firms approach litigation as part of a coordinated global strategy.
Drawing on patent litigation data from leading technology firms across 50 countries over a 13-year period, the study finds that firms concentrate their lawsuits in jurisdictions where legal outcomes have historically been similar. A favorable ruling in one country can then shape expectations and bargaining power in others, reducing the need for repeated litigation. When legal outcomes diverge across countries, however, firms are more likely to diversify their litigation locations to manage uncertainty and risk.
The study also demonstrates how geopolitical and legal shocks reshape these strategies. For example, rising U.S.–China tensions and major court decisions affecting software patents altered cross-country consistency in rulings, prompting firms to adjust where they litigate. Together, the findings reveal that patent enforcement is not only a legal decision, but a strategic one that reflects global interdependence across legal systems.
To read the full context of the study and its methods, access the full paper available in the Strategic Management Journal .
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