nep-cse New Economics Papers
on Economics of Strategic Management
Issue of 2010‒07‒24
eight papers chosen by
Joao Jose de Matos Ferreira
University of the Beira Interior

  1. Strategic Orientation of Outsourcing Firms: Demystifying Key Differentiators By Kirti Sharda
  2. The impact of non-technological innovation on technical innovation: do services differ from manufacturing? An empirical analysis of Luxembourg firms By MOTHE Caroline; NGUYEN Thi Thuc Uyen
  3. Do clusters generate greater innovation and growth? An analysis of European regions By Andrés Rodríguez-Pose; Fabrice Comptour
  4. Innovation and international technology transfer: The case of the Chinese photovoltaic industry By Arnaud De La Tour; Matthieu Glachant; Yann Ménière
  5. Multinationals, R&D and productivity: Evidence for UK Manufacturing firms By Dolores Añon Higon; Miguel Manjon Antolin; Juan A. Mañez
  6. Innovations for Reviving Small-Scale Industries By Anil K Gupta
  7. The Significance of Identifying Industrial Clusters; The Case of Scotland By Gerald Munyoro; John H. Ll Dewhurst
  8. Spillovers in Space: Does Geography Matter? By Sergey Lychagin; Joris Pinkse; Margaret E. Slade; John Van Reenen

  1. By: Kirti Sharda
    Abstract: Despite the importance of outsourcing firms and the highly competitive nature of the outsourcing industry, there has been minimal examination of outsourcing firm strategy. This paper investigates the strategic focus of 60 outsourcing firms using empirical data collected through survey and semi-structured interviews from 226 top management team respondents. Factor and cluster analysis reveal three outsourcing firm archetypes based on their strategic orientation, namely, super achievers, quality advocates and defenders. The dominance of these archetypes also varies across business activities offered by sample firms. By delineating dimensions underlying outsourcing form strategy and by identifying archetypes of strategic orientation, the paper provides an understanding of key differentiators of outsourcing firm performance. [W.P. No. 2009-12-03]
    Keywords: outsourcing, highly competitive, strategic focus, super achievers, quality advocates, defenders,
    Date: 2010
    URL: http://d.repec.org/n?u=RePEc:ess:wpaper:id:2671&r=cse
  2. By: MOTHE Caroline; NGUYEN Thi Thuc Uyen
    Abstract: Generally speaking, the support of technological innovation has been viewed in terms of input such as R&D and instruments such as legal protection. The literature on innovation highlights the interactive nature of the innovation process in which non-technological activities are essential. However, few works have taken into account the role of other innovative strategies such as marketing and organisational innovation, a role which may differ according to whether the firm is involved in manufacturing or in services. The purpose of this paper is to contribute to fill this gap by highlighting the effects of non-technological innovation strategies on technological innovation. For the empirical work, we used firm-level data drawn from the Community Innovation Survey 2006 for Luxembourg. Our results show that the effects of non-technological innovations differ depending on the phase of the innovation process. Marketing and organisational innovations significantly increase the likelihood of innovation, but not the commercial success of innovation. The study also shows the differentiated effects of the two types of non-technological innovation in manufacturing and service, and confirms the key role of organisational innovation for services.
    Keywords: CIS; Innovation; Marketing; Organisation; Technological Innovation
    JEL: L25 L80 O30 O32
    Date: 2010–01
    URL: http://d.repec.org/n?u=RePEc:irs:cepswp:2010-01&r=cse
  3. By: Andrés Rodríguez-Pose (IMDEA Social Sciences Institute); Fabrice Comptour (College of Europe, Bruges)
    Abstract: The analysis of clusters has attracted considerable interest over the last few decades. The articulation of clusters into complex networks and systems of innovation – generally known as regional innovation systems – has, in particular, been associated with the delivery of greater innovation and growth. However, despite the growing economic and policy relevance of clusters, little systematic research has been conducted into their association with other factors promoting innovation and economic growth. This paper addresses this issue by looking at the relationship between innovation and economic growth in 152 regions of Europe during the period between 1995 and 2006. Using an econometric model with a static and a dynamic dimension, the results of the analysis highlight that: a) regional growth through innovation in Europe is fundamentally connected to the presence of an adequate socioeconomic environment and, in particular, to the existence of a well-trained and educated pool of workers; b) the presence of clusters matters for regional growth, but only in combination with a good ‘social filter’, and this association wanes in time; c) more traditional R&D variables have a weak initial connection to economic development, but this connection increases over time and, is, once again, contingent on the existence of adequate socioeconomic conditions.
    Keywords: clusters; regional innovation systems; innovation; regional economic growth; socioeconomic conditions; regions; European Union
    Date: 2010–07–12
    URL: http://d.repec.org/n?u=RePEc:imd:wpaper:wp2010-15&r=cse
  4. By: Arnaud De La Tour (CERNA - Centre d'économie industrielle - Mines ParisTech); Matthieu Glachant (CERNA - Centre d'économie industrielle - Mines ParisTech); Yann Ménière (CERNA - Centre d'économie industrielle - Mines ParisTech)
    Abstract: China is the largest solar photovoltaic cell producer in the world, with more than one third of worldwide production in 2008, exporting more than 95 percent of what it produces. The purpose of this paper is to understand the drivers of this success and its limits, with a particular emphasis on the role of technology transfers and innovation. Our analysis combines a review of international patent data at a detailed technology level with field interviews of ten Chinese PV companies. We show that Chinese producers have acquired the technologies and skills necessary to produce PV products through two main channels: the purchasing of manufacturing equipment in a competitive international market and the recruitment of skilled executives from the Chinese diaspora who built pioneer PV firms. The success of these firms in their market is, however, not reflected in their performance in terms of innovation. Rather, patent data rather highlight a policy-driven effort to catch up in critical technological areas.
    Keywords: Solar photovoltaic energy; technology diffusion; technology transfer; China
    Date: 2010
    URL: http://d.repec.org/n?u=RePEc:hal:journl:hal-00498578_v1&r=cse
  5. By: Dolores Añon Higon (ERI-CES); Miguel Manjon Antolin (Universidad Rovira i Virgili); Juan A. Mañez (ERI-CES)
    Abstract: In this study we analyze multinationality (domestic-based firms vs. multinationals) and foreignness (foreign vs. domestic firms) effects in the returns of R&D to productivity. We follow a two-step strategy. In the first step, we consistently estimate firm’s productivity by GMM and numerically compute the sample distribution of the R&D returns. In the second step, we use stochastic dominance techniques to make inferences on the multinationality and foreignness effects. Results for a panel of UK manufacturing firms suggest that multinationality and foreignness effects operate in an opposite way: whilst the multinationality effect enhances R&D returns, the foreignness diminishes them.
    Keywords: multinationals, foreignness, R&D, productivity
    JEL: C14 D24 F23
    Date: 2010–07
    URL: http://d.repec.org/n?u=RePEc:dbe:wpaper:1110&r=cse
  6. By: Anil K Gupta
    Abstract: Given the economic distress worldwide, the micro, small and medium scale enterprises (MSME) had been hit hard. Large numbers of workers have been laid off because of depressed demand, piled up inventory, pending retrievables and squeezed credit market. A sector which provides maximum employment cannot be left to fend for itself without a major transformation led by the entrepreneurs, policy makers and also other support organizations. There are several innovative options that one can try at four different levels such as (a) stimulating demand, (b) upgrading technology and skills, (c) promoting innovations for developing new products and services and (d) forging new partnerships among the entrepreneurs and also with the R&D institutions, grassroots innovation networks and the technology students. Some of the urgent steps required are: (a) technology audit of MSMEs by formal R&D institutions, (b) Creation of National Innovation and R&D Fund for MSMEs, dedicated for replacing age old materials, technologies and production processes, (c) awards for innovations by and for MSMEs, particularly, engaging youth as attempted by Karnataka Council of Science and Technology and Indian Institute of Science, Bangalore and (d) dedicated R&D centres for various industrial clusters. This is a painful time for the MSMEs and the workers being laid off. A bipartition approach is required among the major political parties to put forward a revitalization plan. Millions of workers and small entrepreneurs will anyway soon vote on the vision of the parties in taking country out of the current stressful situation. [W.P. No. 2009-03-03]
    Keywords: Economic distress, medium scale industries, entrepreneurs, policy makers, technology, skills, R&D institutions, grassroots innovation networks, MSME's
    Date: 2010
    URL: http://d.repec.org/n?u=RePEc:ess:wpaper:id:2662&r=cse
  7. By: Gerald Munyoro; John H. Ll Dewhurst
    Abstract: Industrial clustering policy is now an integral part of economic development planning in most advanced economies. However, there have been concerns in some quarters over the ability of an industrial cluster-based development strategy to deliver its promised economic benefits and this has been increasingly been blamed on the failure by governments to identify industrial clusters. In a study published in 2001, the DTI identified clusters across the UK based on the comparative scale and significance of industrial sectors. The study identified thirteen industrial clusters in Scotland. However the clusters identified are not a homogeneous set and they seem to vary in terms of their geographic concentration within Scotland. This paper examines the spatial distribution of industries within Scotland, thereby identifying more localised clusters. The study follows as closely as possible the DTI methodology which was used to identify such concentrations of economic activity with particular attention directed towards the thirteen clusters identified by the DTI. The paper concludes with some remarks of the general problem of identifying the existence of industrial clusters.
    Keywords: Industrial Clusters, Scottish economy, Travel-to-work areas
    JEL: L23 R12
    Date: 2010–07
    URL: http://d.repec.org/n?u=RePEc:dun:dpaper:237&r=cse
  8. By: Sergey Lychagin; Joris Pinkse; Margaret E. Slade; John Van Reenen
    Abstract: We simultaneously assess the contributions to productivity of three sources of research and development spillovers: geographic, technology and product–market proximity. To do this, we construct a new measure of geographic proximity that is based on the distribution of a firm’s inventor locations rather than its headquarters, and we report both parametric and semiparametric estimates of our geographic– distance functions. We find that: i) Geographic space matters even after conditioning on horizontal and technological spillovers; ii) Technological proximity matters; iii) Product–market proximity is less important; iv) Locations of researchers are more important than headquarters but both have explanatory power; and v) Geographic markets are very local.
    JEL: C23 L60 O33
    Date: 2010–07
    URL: http://d.repec.org/n?u=RePEc:nbr:nberwo:16188&r=cse

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