Contents -- Acknowledgements -- List of Figures -- List of Tables -- List of Abbreviations -- Chapter 1: Introduction -- 1.1 Purpose -- 1.2 An overview -- Part I: The Nature and Extent of Soft Innovation -- Chapter 2: Defining Soft Innovation -- 2.1 Introduction -- 2.2 Product, process, and organizational innovations -- 2.3 Soft innovation: the definition -- 2.4 The two faces of soft innovation -- 2.5 Soft innovation and product differentiation -- 2.6 Judging the relative significance of soft innovations -- 2.7 Science -- 2.8 Research and development -- 2.9 Patenting -- 2.10 Conclusions -- Appendix A2.1: The Market-based Approach to Valuing the Significance of Soft Innovation -- A2.1.1 Introduction -- A2.1.2 Soft innovation and the demand curve -- A2.1.3 Soft innovation and the supply curve -- A2.1.4 The significance of soft innovation -- Appendix A2.2: The Creative Industries -- A2.2.1 The creative industries, an introduction -- A2.2.2 The number of creative businesses -- A2.2.3 Output and exports in the creative industries, United Kingdom -- A2.2.4 The location of the creative industries in the United Kingdom -- A2.2.5 Creative employment in the United Kingdom -- A2.2.6 International comparisons -- A2.2.7 An overview -- Chapter 3: Aggregate Measures of Soft Innovation -- 3.1 Introduction -- 3.2 Innovation surveys -- 3.3 Output of soft innovation and employment of soft innovators in the creative industries -- 3.4 Employment of innovators outside the creative industries -- 3.5 Design -- 3.6 Copyrights and trademarks -- 3.7 The PIMS database -- 3.8 Conclusions -- Chapter 4: Soft Innovation in the Creative Industries: Books, Recorded Music, and Video Games -- 4.1 Introduction -- 4.2 Product variant launches as a measure of the rate of soft innovation -- 4.3 Book publishing -- 4.4 Recorded music -- 4.5 Video games.

4.6 Soft innovation in the creative industries: conclusions -- Chapter 5: Soft Innovation Outside the Creative Industries: Food, Pharmaceuticals, and Financial Services -- 5.1 Introduction -- 5.2 The food industry -- 5.3 Pharmaceuticals -- 5.4 Financial services -- 5.5 Soft innovation outside the creative sector: an overview -- Part II: The Economic Analysis of Soft Innovation -- Chapter 6: The Economic Analysis of TPP Innovation as a Foundation for the Analysis of Soft Innovation -- 6.1 Introduction -- 6.2 Some models of TPP innovation -- 6.3 Soft innovations: a special case? -- 6.4 Conclusion -- Chapter 7: The Supply of Soft Innovations -- 7.1 Introduction -- 7.2 Horizontal product differentiation -- 7.3 Vertical product differentiation -- 7.4 Conclusions -- Chapter 8: The Diffusion of Soft Innovations -- 8.1 Introduction -- 8.2 The epidemic approach -- 8.3 The diffusion of soft innovations in horizontally differentiated markets -- 8.4 The diffusion of soft innovations in vertically differentiated markets -- 8.5 An overview -- 8.6 Normative issues -- 8.7 Conclusion -- Chapter 9: Soft Innovation and Uncertainty: Variant Proliferation, Insurance Markets, and Finance -- 9.1 Introduction -- 9.2 Uncertainty and variant proliferation -- 9.3 Uncertainty and market failure -- 9.4 Conclusions -- Chapter 10: Soft Innovation, Intellectual Property Rights, Competition, and Welfare -- 10.1 Introduction -- 10.2 The patent system -- 10.3 Copyrights -- 10.4 Design rights -- 10.5 Trademarks -- 10.6 Conclusions -- Part III: Impacts and Implications -- Chapter 11: The Impact of Soft Innovation upon Firm Performance -- 11.1 Objectives -- 11.2 Standard approaches to modelling the impact of innovation on firm performance: productivity -- 11.3 Standard approaches to modelling the impact of innovation on firm performance: profitability.

11.4 Soft innovation and firm performance: the evidence from copyrights, trademarks, design, and the PIMS database -- 11.5 The impact of soft innovation: a critical overview -- 11.6 The impact of soft innovation on firm performance: some examples -- 11.7 Conclusions -- Appendix 11.1: Productivity, R&D, and patents: an empirical overview -- Appendix 11.2: Profitability, R&D, patents, and diffusion: the empirical evidence -- Chapter 12: Soft Innovation and Government Policy -- 12.1 Introduction -- 12.2 Market failures -- 12.3 International comparisons -- 12.4 Policy instruments -- 12.5 Arts and science -- 12.6 Conclusions -- Chapter 13: Conclusions and Future Prospects -- 13.1 Introduction -- 13.2 The extent of soft innovation -- 13.3 The determinants of the rate and direction of innovation -- 13.4 The impacts of soft innovation -- 13.5 Government policy -- 13.6 Future research -- References -- Index -- A -- B -- C -- D -- E -- F -- G -- H -- I -- J -- K -- L -- M -- N -- O -- P -- Q -- R -- S -- T -- U -- V -- W -- X -- Y -- Z.