scholarly journals Process and product innovations, multi-product status and export performance: firm-level evidence from V–4 countries

Equilibrium ◽  
2018 ◽  
Vol 13 (2) ◽  
pp. 233-250 ◽  
Author(s):  
Andrzej Cieślik ◽  
Jan Jakub Michałek
Keyword(s):  
Firm Size ◽  
Export Performance ◽  
Value Added ◽  
Set Covering ◽  
Innovation Activity ◽  
Firm Level ◽  
Data Set ◽  
Process Innovations ◽  
Product And Process ◽  
Visegrád Countries

Research background: In this paper, we study empirically the relationship between different forms of innovations, multi-product status and export performance of firms from four Visegrad countries. We treat innovations as the key element that can increase the level of firm productivity. Purpose of the article: The main objective is to analyze the empirical relationship between different firms of innovation of firms from Visegrad countries and their export performance. In contrast to previous studies that use R&D spending as a measure of innovation, we rather relay on innovation outcomes. Our detailed hypotheses postulate the existence of positive relationships between firm export performance and different forms of innovation. We seek to determine which type of innovation activity is of the greatest importance for exporting and whether it depends on firm size, the level of internationalization, the use of human capital and its sector of activity. In addition, we control for the multi-product status of firms, i.e. whether they sell one or many products. Methods: The measures of innovative activity of companies include both spending on R&D as well as its effects, such as product and process innovations. In addition, we control for the multi-product status measured by the share of the main product in total sales of the firm, as well as for other firm-level characteristics. The empirical implementation of the theoretical framework is based on the probit models, applied to the fifth edition of BEEPS firm level data set covering the period 2011–2014. Findings & Value added: Our results indicate that the probability of exporting is positively related to both product and process innovations and the multi-product status. In addition, we find that the probability of exporting is related to the set of control variables including labor productivity, firm size, the share of university graduates in productive employment, foreign capital participation and the use of foreign licenses.

On the Dynamics of Product and Process Innovations. A Bivariate Random Effects Probit Model / Zur Dynamik von Produkt- und Prozeßinnovationen. Ein bivariates Random-Effects-Probitmodell

1998 ◽  
Vol 217 (4) ◽  
Author(s):  
Gebhard Flaig ◽  
Manfred Stadler
Keyword(s):  
Random Effects ◽  
Probit Model ◽  
Spillover Effects ◽  
Labor Cost ◽  
Stochastic Dynamic ◽  
Firm Level ◽  
Data Set ◽  
Process Innovations ◽  
Simultaneous Equation System ◽  
Product And Process

SummaryBased on a stochastic dynamic model of a firm's optimal innovative behavior we derive a simultaneous equation system for product and process innovations with intertemporal spillover effects. We estimate various versions of the model with dichotomous innovation data at the firm level by using a bivariate dynamic random effects probit model. The data set, provided by the Ifo-Institute, covers the period between 1981 and 1989 and includes 586 firms of the West German manufacturing sector. It turns out that the firms probabilities of product and process innovations depend positively on dynamic spillover effects even if one controls for firm size, market concentration, demand expectations, labor cost, unobserved heterogeneity and potential endogeneity of the explanatory variables.

scholarly journals The institutional support for an innovation cooperation in industry: the case of Poland

Equilibrium ◽  
2020 ◽  
Vol 15 (4) ◽  
pp. 811-831
Author(s):  
Arkadiusz Świadek ◽  
Jadwiga Gorączkowska
Keyword(s):  
Innovation System ◽  
Value Added ◽  
Business Environment ◽  
Innovation Activity ◽  
Specific Stimulus ◽  
Process Innovations ◽  
Industrial Enterprises ◽  
Support Organizations ◽  
Business Support ◽  
Product And Process

Research background: Innovative economy and the business environment are important factors in the socio-economic development of a country. In a knowledge-based society, economic processes (especially innovation activity) require a specific stimulus. This stimulus can be provided by business support organization, which have been present in the Polish economy since the 1990s. Purpose of the article: The main goal of the article is to assess the system impact of business support organizations on cooperation in the area of new solutions (product and process innovations) in industry in Poland. Methods: The research method which was used in the analysis was logit modelling. Cooperation in the area of new solutions with the supplier, recipient and competitor was established as a dependent variable and business support organizations as independent variable. The analysis using logistic regression was based on comparison two groups of enterprises: those that were service recipients of support organizations and those that did not belong to this group. In this way, it was possible to determine if the use of BSO services increased the chances for innovative cooperation in industry. The survey was conducted in 2013?2017 among 6284 industrial enterprises. Findings & Value added: The survey showed that business support organizations significantly and systematically influence the establishment of innovative cooperation. Recipients of support organizations twice more often cooperated with suppliers and recipients than entities that did not. Stimulation of cooperation with competitors by BSO was weaker than it was in the case of suppliers and recipients. The conducted study provided information on the level of development of the national innovation system in catching-up countries on the example of Poland. It was pointed out that in economically weak territories, one should focus on stimulating innovative activity as such, while in the developed ones should be transferred to more advanced forms, i.e. innovative cooperation.

Capital Account Liberalization and Firm Innovation: Worldwide Evidence

2021 ◽  
pp. 0148558X2110594
Author(s):  
Fangfang Hou ◽  
Xinpeng Xu
Keyword(s):  
Positive Impact ◽  
Set Covering ◽  
Capital Account ◽  
Legal Environment ◽  
Firm Level ◽  
Firm Innovation ◽  
Capital Account Liberalization ◽  
Data Set ◽  
Innovation Output

This study investigates whether capital account liberalization, a leading characteristic of globalization, is associated with firms’ future innovation output. Employing a novel firm-level panel data set covering 41 countries over two decades, we show that capital account liberalization is significantly associated with higher corporate patenting activities, particularly for firms from innovation-intensive industries. Further analyses show that the effect is stronger among firms from economies in a better legal environment, signifying the important role of good institutional quality in facilitating the positive impact of liberalization. The effect is also stronger among firms with higher initial productivity, consistent with the “productivity” hypothesis, according to which bigger and more productive firms generate more innovation after liberalization. Our findings are robust to the use of various measurements, subsamples, and estimation models. This study provides global firm-level evidence of the real economic impact of financial globalization.

scholarly journals Utilities: Innovation and Sustainability

2019 ◽  
Vol 11 (4) ◽  
pp. 1085 ◽  
Author(s):  
Enrique Loredo ◽  
Nuria Lopez-Mielgo ◽  
Gustavo Pineiro-Villaverde ◽  
María García-Álvarez
Keyword(s):  
Product Innovation ◽  
Process Innovation ◽  
Water Utilities ◽  
Firm Level ◽  
Playing Field ◽  
Process Innovations ◽  
Search Processes ◽  
Relevant Role ◽  
Product And Process Innovation ◽  
Product And Process

Pro-market reforms have disrupted the playing field and strongly affected the innovative behavior of electricity, gas and water utilities. Beyond a significant reduction in sectoral R&D investments, very little is known about how these firms accomplish their innovation strategies in this new scenario. Given this gap in the literature, the first aim of this paper is to identify the internal determinants of both the product and process innovation of utilities in a liberalized environment. Additionally, there is another external force that is also disrupting the specific landscape of utilities: the sustainability challenge. Therefore, the second aim of this paper is establishing whether sustainability-orientation is a driver of innovation in the utilities industries. The empirical study is carried out on a panel of 82 Spanish electricity, gas and water utilities over the period 2005–2012 (Technological Innovation Panel dataset (PITEC)). The main findings are: (i) the acquisition of disembodied knowledge does not play a relevant role for utilities; (ii) non-formal search processes are central to product innovation; (iii) some markets for technology –external R&D and technology embedded in equipment—are determinant factors for process innovation; (iv) sustainability orientation increases the likelihood of generating both, product and process innovations. These firm-level results are novel contributions to the field of utility management.

Bridge and redundant ties in networks: the impact on innovation in food SMEs

2015 ◽  
Vol 18 (3) ◽  
pp. 355-379 ◽  
Author(s):  
Ghasem Shiri ◽  
Loïc Sauvée ◽  
Zam-Zam Abdirahman
Keyword(s):  
Empirical Research ◽  
Positive Impact ◽  
Process Innovation ◽  
Innovation Activity ◽  
Data Set ◽  
Content Type ◽  
Wide Range ◽  
Product And Process Innovation ◽  
Product And Process ◽  
The Impact

Purpose – The purpose of this paper is to study the impact of networks diversity on innovation activity of firms. It aims to review the structural issue in innovation networks and to distinguish different structures of networks for product and process innovation through an empirical research. Design/methodology/approach – Using a data set of 348 European agri-food firms, the authors study the impact of bridge and redundant ties on product and process innovation of firms. This is an empirical research based on an online survey in five European countries. Findings – The finding shows that bridge ties (measured by the number of heterogeneous networks in which firm participate) always facilitate product innovation in firms. The authors found also that a high number of heterogeneous ties in term of partners (simultaneous presence of redundant and non-redundant ties) motivate both product and process innovation in firms. Furthermore, the authors found a positive impact of network competence on process innovation. Research limitations/implications – The measures of bridge ties and redundant ties are indirect measures. This choice is a willing choice. Direct measurement of bridge and redundant ties always requires in-depth interviews with firms managers and thereby are limited by the number of observations. Originality/value – Research on innovations networks are dominated by case studies and researches with limited number of observations. Studying the networking behaviour, particularly the tie selection, of a wide range of firms brings additional knowledge in this field of research.

scholarly journals Employment Effects of Innovation at the Firm Level

2007 ◽  
Vol 227 (3) ◽  
Author(s):  
Stefan Lachenmaier ◽  
Horst Rottmann
Keyword(s):  
Employment Growth ◽  
Manufacturing Firms ◽  
Firm Level ◽  
Employment Effects ◽  
Process Innovations ◽  
Positive Effects ◽  
Product Innovations ◽  
Patent Applications ◽  
Product And Process ◽  
Positive Effect

SummaryThis paper analyzes empirically the effects of innovation on employment at the firm level using a uniquely long panel dataset of German manufacturing firms. The overall effect of innovations on employment often remains unclear in theoretical contributions due to reverse effects. We distinguish between product and process innovations and additionally introduce different innovation categories. We find clearly positive effects for product and process innovations on employment growth with the effects for process innovations being slightly higher. For product innovations that involved patent applications we can identify an additional positive effect on employment.

A Perceptual Measure of Innovation Performance: Firm-Level Evidence from Turkey

2017 ◽  
Vol 14 (06) ◽  
pp. 1750038 ◽  
Author(s):  
Derya Findik ◽  
Berna Beyhan
Keyword(s):  
Factor Analysis ◽  
Small Firms ◽  
Innovation Performance ◽  
Large Firms ◽  
Firm Level ◽  
Process Innovations ◽  
Significant Difference ◽  
Process Oriented ◽  
Product And Process ◽  
The Impact

This paper aims to introduce a qualitative indicator to measure innovation performance of Turkish firms by using firm-level data collected by Turkish Statistical Institute (TURKSTAT) in 2008 and 2009. We propose a new indicator to measure the innovation performance which is simply based on the perception of firms regarding to the impacts of innovation. In order to create performance indicators, we conduct a factor analysis to group the firms’ perceptions on the impacts of innovation. Factor analysis gives us product and process-oriented impacts of innovation. There are significant differences among product innovators, process innovators and firms engaged in both product and process innovations with respect to their perceptions on product and process-oriented impacts of innovation. Among these three groups, product- and process-oriented impacts provide a highest value for the firms that perform both product and process innovations. As far as the link between firm characteristics and the impact of innovation is considered, there is a significant difference between small and large firms with respect to their perceptions on product-oriented impact of innovation. While product-oriented impact is larger for small firms, large firms focus more on process-oriented impact. Anova results also indicate that perceptions on process-oriented impact significantly differ among exporter firms, domestic market-oriented firms and firms being active in internal and external markets. Process-oriented impact generates results in favor of exporting firms.

scholarly journals Determinants of Export Performance of Pakistan: Evidence from the Firm-Level Data

2009 ◽  
Vol 48 (3) ◽  
pp. 227-240 ◽  
Author(s):  
Mr. Musleh ud Din ◽  
Ejaz Ghani ◽  
Tariq Mahmood
Keyword(s):  
Export Performance ◽  
Industrial Clusters ◽  
Jel Classification ◽  
Supply Side ◽  
Export Processing Zones ◽  
Firm Level ◽  
Know How ◽  
Level Data ◽  
Side Constraints ◽  
Product And Process

This paper explores the determinants of export performance at the level of firms in respect of their characteristics and supply side constraints. The analysis is based on a survey of export-oriented firms in four major sectors. The results indicate a relationship between the better performance of foreign-owned firms to their better know-how and resources compared to the domestically owned firms. Export performance is positively affected by the level of investment in market/client oriented technologies. Lack of certification of product and process standards is the main supply side constraint adversely affecting the firms’ export performance. Facilitation measures like export processing zones, internationally recognised testing labs, and industrial clusters would be helpful in improving the export performance of firms. JEL classification: F1, L1, L6 Keywords: Trade, Exports, Firms, Performance, Manufacturing

scholarly journals The Effect of Financial Development on the Investment-Cash Flow Relationship: Cross-Country Evidence from Europe

2010 ◽  
Vol 10 (1) ◽  
Author(s):  
Bo Becker ◽  
Jagadeesh Sivadasan
Keyword(s):  
Financial Markets ◽  
Financial Development ◽  
Cash Flow ◽  
Set Covering ◽  
Firm Level ◽  
Data Set ◽  
Flow Sensitivity ◽  
Cash Flow Sensitivity ◽  
Cross Country ◽  
Financial Environment

Abstract We investigate if financial development eases firm level financing constraints in a cross-country data set covering much of the European economy. The cash flow sensitivity of investment is lower in countries with better-developed financial markets. To deal with potentially serious biases, we employ a difference-in-difference methodology. Subsidiaries of other firms have access to internal capital markets and hence depend less on the external financial environment. As predicted, the benefit of financial development is smaller in subsidiary firms. This shows that financial development can mitigate financial constraints, and sheds light on the link between financial and economic development.

The Interaction Effects of Innovation, Business Relations, and the Country Context with Firm Age on Entrepreneurial Internationalization

2021 ◽  
pp. 2150025
Author(s):  
Sikandar Abdul Qadir ◽  
Gokcen Arkali Olcay ◽  
Ozlem Kunday
Keyword(s):  
Export Performance ◽  
Set Covering ◽  
Research Model ◽  
Firm Age ◽  
Data Set ◽  
Individual Level ◽  
Early Stages ◽  
Country Level ◽  
Gem Data ◽  
Business Relations

The accelerating rate of technological progress and the increasing number of people having international experiences resulted in the emergence of entrepreneurial internationalization. Internationalization is challenging for entrepreneurs as they have limited resources to compete with large multinationals. We explore how entrepreneurs benefit from the unique individual-level resources and the country’s innovation at a macro level on internationalization pursued by exports. We develop a research model to test the direct effects of innovation, business relations, and the contextual framework conditions of country innovativeness as well as their interactions with firm age on export performance. We construct a data-set covering 72 economies over the globe drawn from GEM data and test our research model using multiple and hierarchical linear regressions. We find that innovation and country innovativeness interact with firm age on export performance when controlled for various entrepreneurial and business level characteristics. Our research contributes to the literature offering important implications for entrepreneurs and policymakers. At the entrepreneurial level, innovation is a unique resource that an entrepreneur can get the most benefit out from it in the early stages of foundation. At the country level, developing policies supporting a favorable innovative environment is crucial, particularly in low innovative countries, to boost entrepreneurial internationalization in their early stages.

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