THE INFLUENCE OF THE MANAGER ON FIRM INNOVATION IN EMERGING ECONOMIES

2018 ◽  
Vol 22 (03) ◽  
pp. 1850028 ◽  
Author(s):  
FRANK CROWLEY ◽  
JANE BOURKE
Keyword(s):  
Emerging Economies ◽  
Management Practices ◽  
Innovation Performance ◽  
Innovation Activity ◽  
Firm Innovation ◽  
Internal Factors ◽  
Management Incentives ◽  
Innovation Activities ◽  
Production Function Approach ◽  
Management Experience

The focus of this paper is on the relatively under-researched area of the influence of management on innovation activities for firms in emerging economies. Many emerging economies adopt a strategy of outward-oriented development with the aim to enhance innovation performance through Foreign Direct Investment (FDI) and international trade. However, attention should be paid to firm mechanisms, including intangibles, that may enable a firm to benefit from the more tangible performance-enhancing effects. It is through such a lens that we examine firm innovation in emerging economies, focusing on how variations in management experience, management practices and management incentives impact innovation performance. We employ a production function approach to identify the effect of the management environment on innovation diversity for firms in emerging economies. Our diversity of innovation measure takes account of five types of innovation activity, and is indicative of the degree of ‘innovativeness’ that the firm possesses. A Tobit estimation technique is employed. Innovation decisions typically involve managers as filtering mechanisms to consider a range of external and internal factors that enhance the likelihood of innovation outcomes. Our results indicate that management experience, management practices and management incentives are all important in determining innovation activities in firms from emerging economies. Our analysis reveals the importance of the management environment in explaining innovation differences at the level of the firm in emerging economies. Therefore, strategies to empower and support managers in emerging economies should be considered alongside outward-orientated development strategies.

Firm innovation and access to finance: firm-level evidence from India

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Parneet Kaur ◽  
Navneet Kaur ◽  
Paras Kanojia
Keyword(s):  
Small Firms ◽  
Small And Medium Enterprises ◽  
Emerging Market ◽  
Innovation Performance ◽  
Innovation Activity ◽  
Firm Level ◽  
Firm Innovation ◽  
Content Type ◽  
Explanatory Variables ◽  
The Impact

Purpose Based on 9,281 firm-level survey data on micro, small and medium enterprises (MSMEs) in India, this study aims to investigate how access to different finance sources and collateral requirement facilitates the firm’s innovation activity across industries. Design/methodology/approach This paper used ordered logit regression models using Stata software for explanatory variables to measure the impact of explanatory variables on firm innovation performance. Firms’ innovation performance is measured through the aggregate innovation index obtained by adding up the no. of “new-to-firm” activities. Findings The empirical results reveal that external sources of funding impact innovation activity than other financing sources. Also, the requirement of collateral for financing impacts innovation performance significantly. This paper finds that firms funded by state-owned banks or government agency are more actively engaged in innovation activities. The firm’s size, ownership structure and location of the firm also show the varying innovation performance. This paper found variation in innovation performance across industries as well. Practical implications First, the present study underlines the significance of funding sources. Second, minimizing the need for collateral to obtain external finance boosts small firms’ innovation activity and will also trigger overall economic growth. Finally, while making policies for ownership transformation of state-owned institutions, policymakers should discuss these policies’ impact on innovative firms. Originality/value What facilitates innovation performance in an emerging market is missing in the literature for MSMEs, largely due to lack of data. It is reasonable not to generalize innovation knowledge in large firms to small firms because of the constraints, particularly MSMEs face.

Transformation of firm innovation activities into brand effect

2019 ◽  
Vol 37 (2) ◽  
pp. 226-240 ◽  
Author(s):  
Hashim Zameer ◽  
Ying Wang ◽  
Humaira Yasmeen
Keyword(s):  
Innovation Performance ◽  
Equation Modeling ◽  
Survey Method ◽  
Direct Impact ◽  
Brand Preference ◽  
Firm Innovation ◽  
Content Type ◽  
Innovation Activities ◽  
Brand Effect ◽  
The Way

Purpose Brand effect is an important source of innovation performance, but rarely any study in the past has paid attention to explore the way firm innovation activities transform into brand effect. The purpose of this paper is to investigate how firm innovation activities transform into brand effect. Design/methodology/approach A set of hypothesis has been developed to show the relationships among firm innovation activities, brand prototype, brand preference and brand recommendation. The online survey method was used for data collection. In total, 546 valid questionnaires were retrieved. The study used confirmatory factor analysis and structural equation modeling technique to test the hypothesis. Findings Results indicate that brand prototype leads the process of cognitive processing from innovation activities’ perception to brand preference and recommendation. The consumer perception of process innovation, marketing innovation, product innovation and the store environment have direct impact on brand prototype that further influences product sophistication, brand preference and brand recommendation. But, the most powerful influence is on brand preference. Moreover, product sophistication–attribute-specific brand knowledge has direct impact on brand preference and indirect impact on the brand recommendation. The whole process from brand prototype to brand preference and brand recommendation mainly reflects the strength of the brand effect formation. Practical implications This study provides useful managerial insights so that firms can learn the way to maximize brand effect through the management of innovation perception and cultivation of innovation soft capability to enhance innovation performance. Originality/value This study unfolds the transformation of firm innovation activities into brand effect that provides a new theoretical explanation and a holistic framework for the source of innovation performance.

From venture capital towards venture firm innovation performance: evidence from SMEs of China

2021 ◽  
pp. 1-7
Author(s):  
Yanran Ma ◽  
Jianfeng Cai ◽  
Yiqi Wang ◽  
Umar Farooq Sahibzada
Keyword(s):  
Venture Capital ◽  
Negative Relationship ◽  
Innovation Performance ◽  
Mediating Effect ◽  
Firm Innovation ◽  
Management Incentives ◽  
Mediating Role ◽  
Equity Incentives ◽  
Start Ups ◽  
The Impact

Based on information asymmetry, agency theory and resource-based view (RBV), this study investigates the impact of venture capital (VC) on venture firm innovation performance, ascertains the extent to which VC affects venture firm innovation performance and finds the mediating effect of management incentives. Constructing a sample of a novel panel dataset of firms listed on the SME Board of China, we examined a sample of 927 start-ups between 2008 and 2017, showing a notable negative relationship between VC and Patent, and a positive relationship between VC and total factor productivity (TFP), providing stable evidence that VC could not spur firm patent directly, but facilitate the commercialization of innovation. Moreover, it shows that management equity incentives (MEI) and management cash incentives (MCI) playing significant positive mediating role between VC and TFP, while there is no mediating effect between VC and Patent. Findings of this study strengthen the experience of VC and suggest how practitioners of SMEs to enhance the commercialization of innovation, considerably extends our understanding of the impact of VC on venture firm innovation performance.

REGIONS AND INNOVATION: A NEW TALE OF THREE ECONOMIC REGIONS IN CHINA

2021 ◽  
pp. 2150059
Author(s):  
MEGAN YUAN LI ◽  
SHIGE MAKINO ◽  
MICHAEL MURPHREE ◽  
CHUNYAN JIANG
Keyword(s):  
Emerging Economies ◽  
Local Governments ◽  
Regional Differences ◽  
Multinational Enterprises ◽  
Innovation Performance ◽  
Publicly Funded ◽  
Access To Resources ◽  
Firm Innovation ◽  
Advanced Knowledge ◽  
Economic Regions

Learning is a key component of firm upgrading in emerging economies, and China is no exception to this. Studies have identified, among others, two critical mechanisms that facilitate learning: (1) connections with supportive local governments that enhance access to resources or publicly funded knowledge and (2) connections to co-located foreign multinational enterprises (MNEs) that enhance access to advanced knowledge and capabilities. However, previous studies on the effects of these connections on learning and innovation have had contradictory results. In this study, we develop a model of firm innovation capabilities based on regional differences in firms’ dependence on government and MNEs. Using a sample of 715 indigenous firms from the three historically dominant economic regions in China, we find that the effects of government and MNE ties on local firms’ learning and innovation performance vary depending on the historically dominant dependency patterns in the region.

RESEARCH ON INVESTMENT AND INNOVATION ACTIVITY IN UKRAINE: TRENDS AND PROBLEMS

2018 ◽  
Vol 1 (01) ◽  
pp. 5-73
Author(s):  
Anatoliy Ivanovich Bogdanenko
Keyword(s):  
State Policy ◽  
Innovation System ◽  
State Regulation ◽  
The State ◽  
Innovation Activity ◽  
Legal Principles ◽  
Innovation Activities ◽  
Wide Range ◽  
Intellectual Potential ◽  
Innovation Processes

In the monograph the theoretical identification of concepts and categorical series of state regulation of investment-innovation processes are investigated; the directions of optimization of the state policy of innovation and investment development management in Ukraine are determined; the organizational and legal principles of the state regulation of development of intellectual potential of the population are substantiated; the areas of development and improvement of the national innovation system as an object of state policy are highlighted and assessed. The monograph will be interesting for scholars, lecturers, doctoral and graduate students, and will also be useful to practical politicians, journalists and media workers and a wide range of readers interested in investment and innovation activities.

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