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Purpose

Concerning the general patent trading mechanism, this paper proposes a systematic patent appraisal model to provide patent transferors and transferees a reasonable price suggestion of the target patent.

Design/methodology/approach

Based on the appraisal factors (including the patent transferor, patent transferee, patent features, and patent trading specifications) and regression model, a patent trading system is developed with an automatic patent appraisal function.

Findings

Based on the case study, it is found that the system performance is better if the non‐critical factors can be identified and dropped out from the appraisal model.

Practical implications

The proposed model and platform can enhance patent trading performance and, therefore, the enterprise R&D tasks can be accomplished more efficiently.

Originality/value

This study proposes quantitative models of patent appraisal factors and a multiple regression model for patent appraisal to present an automatic patent price determination mechanism.

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