Examining the patenting propensity among Belgian International Niche Market Leaders as a basis for their competitiveness

Details

Supervisors

Kamp, Bartholomeus

Faculty

Louvain School of Management

Degree label

Master [120] en sciences de gestion, à finalité spécialisée

Abstract

enThe hidden champion concept has attracted growing interest in both practice and research. As international niche market leaders, hidden champions represent an important form of competitive success, yet their intellectual property behaviour remains insufficiently understood. Patents are often viewed as a key instrument for protecting innovation and sustaining market leadership, but little quantitative evidence exists on whether and how they contribute to the competitiveness of hidden champions in a Belgian context. Drawing on a mixed-methods design and using patent data for 44 Belgian hidden champions, this thesis examines their patenting intensity, their position relative to sectoral and competitive benchmarks, and the strategic role patents play in their niche markets. The results show that Belgian hidden champions are generally highly patent active. Most firms patent above their sectoral benchmark, and many also outperform at least one of their direct competitors. At the same time, patenting is unevenly distributed across the sample, which indicates that hidden champions do not follow a uniform patenting strategy. The qualitative evidence suggests that patents are used selectively and strategically, rather than systematically. They are valued for protecting core innovations, securing freedom to operate, blocking competitors, and strengthening bargaining power, but firms also weigh these benefits against costs, disclosure requirements, administrative burdens, and enforcement uncertainty. Overall, the findings support the view that patents can contribute to the competitive advantage of Belgian hidden champions, but only under specific conditions. Their value depends on the technological significance of the innovation, the sectoral context, and the extent to which patents fit within a broader intellectual property portfolio that may also include secrecy, trade marks, copyright, and licensing. The thesis therefore shows that patenting is best understood not as a standalone strategy, but as one instrument within a wider architecture of niche-market protection and competitive positioning.