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on Economics of Strategic Management |
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Issue of 2011‒06‒11
25 papers chosen by Joao Jose de Matos Ferreira University of the Beira Interior |
| By: | Manuel Mira Godinho (UECE and ISEG/UTL); Rui Cartaxo (ISEG/UTL) |
| Abstract: | The paper assesses the performance of the technology licensing offices (TLO) and technology transfer offices (TTO) which have been active in Portuguese higher education institutions. Data stemming from a survey of these entities was analyzed in successive steps through factor analysis, cluster analysis and estimation of a model using the Partial-Least Squares methodology. It is shown that the institutional nature of each of the surveyed organizations implies different behaviours and outcomes. Further it has also became clear that the type of resources and activities in the surveyed organizations determine both their “primary outcome” (patent applications and technology transfer processes) and their “final outcome” (technology licensing contracts and technology-based spin-offs). The results of this paper might be particularly relevant for other similar economies as Portugal where high-tech and knowledge-intensive industries have not been dominant. |
| Keywords: | technology transfer; university-industry relationships; university patenting; university spin-offs |
| JEL: | O32 O34 I23 |
| Date: | 2011 |
| URL: | http://d.repec.org/n?u=RePEc:ieb:wpaper:2011/6/doc2011-11&r=cse |
| By: | Bodas Freitas Isabel Maria; Geuna Aldo; Rossi Federica (University of Turin) |
| Abstract: | This paper explores the factors affecting firms’ decisions concerning whether to collaborate with universities in their region or elsewhere, and the level of investment in the collaboration. Building upon an original survey of a representative sample of firms in the Italian region of Piedmont, the paper examines the effect of firm and collaboration characteristics (including the type and diversity of each collaboration’s objectives) on the location of the university partners and on the investment in university-industry collaborations. We find that firms that are smaller, less engaged in international markets, less vertically integrated, and that engage in collaborations with universities in order to solve organizational problems, tend to collaborate more with regional universities. Firms tend to invest more in collaborations focused only on R&D activities with nearby universities, though the maximum amount spent in a collaboration was with a foreign university. |
| Date: | 2011–03 |
| URL: | http://d.repec.org/n?u=RePEc:uto:labeco:201105&r=cse |
| By: | Gustavsson , Patrik (CESIS - Centre of Excellence for Science and Innovation Studies, Royal Institute of Technology); Poldahl, Andreas (Statistics Sweden (SCB)) |
| Abstract: | Research and Development (R&D) is a key component behind technological development and economic growth; therefore, understanding the drivers of R&D is crucial. An interesting question is the role of technology spillovers, transferred by trade, and their impact on firm R&D. Here we analyze not only how international and domestic inter- and intra-industry technology spillovers affect firm R&D but also the relatively unexplored issue of how relationship-specific interactions between buyer and seller affect such spillovers. We find international technology spillovers to be larger and more significant than domestic inter- and intra-industry spillovers. Moreover, relationship-specific interactions between seller and buyer enhance technology spillovers in general and international spillovers in particular. |
| Keywords: | R&D; spillovers; imports; relationship-specific investments |
| JEL: | L10 L60 O10 O30 |
| Date: | 2011–06–03 |
| URL: | http://d.repec.org/n?u=RePEc:hhs:cesisp:0251&r=cse |
| By: | Antonelli cristiano (University of Turin) |
| Abstract: | Building upon both the Schumpeterian and the Marshallian legacies, this paper elaborates a model of localized technological change cum pecuniary knowledge externalities to provide a systemic explanation for total factor productivity. The generation of technological knowledge consists in the recombination of existing bits of heterogeneous technological knowledge that are necessarily possessed by a myriad of agents. As such much technological knowledge used in the generation of further knowledge is external to each agent. Nevertheless external knowledge is an essential input into the recombinant generation of new technological knowledge. In this context knowledge governance mechanisms play a key role in the identification, recollection and provision of the specific item of technological knowledge, external to each agent, at each point in time. Consequently, effective knowledge governance mechanisms engender pecuniary knowledge externalities. The latter explain the levels and the growth of total factor productivity when existing units of external knowledge can be bundled and used –again- at costs that are below reproduction ones. |
| Date: | 2011–03 |
| URL: | http://d.repec.org/n?u=RePEc:uto:labeco:201104&r=cse |
| By: | Richard Harris (Department of Economics, University of Glasgow); Qian Cher Li (Imperial College, London); John Moffat (University of Strathclyde) |
| Abstract: | This paper estimates whether sourcing knowledge from and/or cooperating on innovation with higher education institutions impacts on establishment-level TFP and whether this impact differs across domestically-owned and foreign-owned establishments and across the regions of Great Britain. Using propensity score matching, the results show overall a positive and statistically significant impact although there are differences in the strength of this impact across production and non-production industries, across domestically-owned and foreign-owned firms, and across regions. These results highlight the importance of absorptive capacity in determining the extent to which establishments can benefit from linkages with higher education institutions. |
| Keywords: | Universities; University-Industry knowledge links; Firm-level productivity |
| JEL: | D24 I23 |
| Date: | 2010–09 |
| URL: | http://d.repec.org/n?u=RePEc:str:wpaper:1018&r=cse |
| By: | Aurora A. C. Teixeira (CEF.UP, Faculdade de Economia, Universidade do Porto; INESC Porto, OBEGEF); Margarida Catarino (Faculdade de Economia, Universidade do Porto) |
| Abstract: | Despite the large number of publications related to business cooperation in R&D and the wide perception of the importance of intermediary institutions in the R&D cooperation process, empirical studies on its role are scarce, scattered and fragmented. Moreover, the academic work developed in this area is basically of a theoretical nature, whereas the international perspective of R&D cooperation is seldom approached. Departing from a unique database that includes 473 R&D cooperation projects developed within the 6th Framework Programme, involving firms and intermediaries from all European Union countries, this paper gauges the determinants of the importance attached to Intermediaries, through a direct survey to the organizations involved. Based on an estimation of the multivariate model, this study demonstrates that the importance given to Intermediaries depends more on project features than on the characteristics of the participating organizations. In particular, the nationality of participating organizations and the promoter emerged with a strong explanatory power: ceteris paribus, projects with at least one participant from the United Kingdom tend to assign greater importance to intermediaries in international R&D cooperation. Unambiguously, results evidence that the innovating capacity of an organization emerges (both positively and significantly) associated with a greater importance attached to Intermediaries. |
| Keywords: | R&D Cooperation; Intermediaries; International projects; Europe |
| JEL: | O32 O52 |
| Date: | 2011–05 |
| URL: | http://d.repec.org/n?u=RePEc:mde:wpaper:0038&r=cse |
| By: | Antonelli Cristiano; Fassio Claudio (University of Turin) |
| Abstract: | This paper contributes a novel approach to appreciating the role of external knowledge in the innovative process based upon the notion of knowledge generation function. In so doing this paper impinges upon the rich literature on spillovers and yet introduces a sharp discontinuity that highlights the role of external knowledge as a necessary and costly input into the generation of new technological knowledge. It attempts to identify the contribution of external knowledge directly to the generation of technological innovations and to explore the matching between kinds of technological innovations that are introduced according to its sources. This approach enables to avoid the systematic confusion between the effects of external knowledge upon knowledge exploitation and its effects on knowledge generation and is able to assess more directly and specifically the role of horizontal and vertical flows of external knowledge on both the rate and the direction of introduction of new technologies. The results of the empirical investigations confirm that external knowledge is a crucial input into the generation of new technological knowledge and in the eventual exploitation to introduce technological innovations. Moreover it shows that external knowledge generated by upstream suppliers and flowing vertically, embodied in capital goods, within interindustrial filieres, plays a strong and positive role on the introduction of process innovations, while external knowledge that flows horizontally from competitors has stronger effects on the introduction of product innovations |
| Date: | 2011–03 |
| URL: | http://d.repec.org/n?u=RePEc:uto:labeco:201101&r=cse |
| By: | Okamuro, Hiroyuki; Nishimura, Junichi |
| Abstract: | Despite various expected advantages, university-industry research collaboration (UIC), a relationship between two different worlds, often faces serious difficulties. Thus, the performance of UIC depends on the research partners’ strategies to bridge the gaps between them according to the institutional environment. In Japan, UIC has developed rapidly since the late 1990s based on drastic institutional changes regarding universities. We pay special attention to the role of the university intellectual property (IP) policy introduced after 2003 and empirically examine its impact on the performance of UIC projects. A clear and equitable IP policy that can be applied flexibly to the needs of partners would be optimal for a UIC to be efficiently managed. Otherwise, the project might face serious conflicts of interests and low incentive for cooperation. Using a sample of Japanese firms from our original survey, we find that the IP policy of partner universities indeed has a positive and significant impact on various performances of UIC projects, controlling for firm and project characteristics and considering potential selection bias from UIC participation. |
| Keywords: | university, intellectual property policy, research collaboration, project performance, Japan |
| JEL: | D23 L24 O32 O34 |
| Date: | 2011–05 |
| URL: | http://d.repec.org/n?u=RePEc:hit:hitcei:2011-1&r=cse |
| By: | Antonelli Cristiano; Scellato Giuseppe (University of Turin) |
| Abstract: | The analysis of social interactions as drivers of economic dynamics represents a growing field of the economics of complexity. Social interactions are a specific form of interdependence whereby the changes in the behavior of other agents affect utility functions for households and production functions for producers. In this paper, we apply the general concept of social interactions to the area of the economics of innovation and we articulate the view that knowledge interactions play a central role in the generation of new technological knowledge so that innovation becomes the emergent property of a system, rather then the product of individual actions. In particular, we articulate and test the hypothesis that different layers of knowledge interactions play a crucial role in determining the rate of technological change that each firm is able to introduce. The paper presents an empirical analysis of firm level total factor productivity (TFP) for a sample of 7020 Italian manufacturing companies observed during the years 1996-2005 that is able identify the distinctive role of regional, inter-industrial and localized intra-industrial knowledge interactions as distinctive and significant determinants, together with internal research and innovation efforts, of changes in firm level TFP |
| Date: | 2011–03 |
| URL: | http://d.repec.org/n?u=RePEc:uto:labeco:201102&r=cse |
| By: | Richard Harris (Department of Economics, University of Glasgow); Qian Cher Li (Imperial College, London.); john.moffat@strath.ac.uk John (Strathclyde University) |
| Abstract: | This paper estimates whether knowledge links with universities impacts on establishment-level TFP. Using propensity score matching, the results show a positive and statistically significant impact although there are across production and non-production industries and domestically- and foreign-owned firms. |
| Keywords: | Universities, Firm-level productivity |
| JEL: | D24 I23 |
| Date: | 2010–09 |
| URL: | http://d.repec.org/n?u=RePEc:str:wpaper:1017&r=cse |
| By: | Nyström, Kristina (The Ratio Institute) |
| Abstract: | This paper explores the entrepreneurial experience (and spirit) of Swedish policymakers. To what extent have they been involved in entrepreneurial activities? Are they planning to start any entrepreneurial activities? Are politicians more or less entrepreneurial than their voters? How important are entrepreneurship policies to Swedish politicians? Are entrepreneurship policies more or less important to policymakers compared to the voters they represent? The Members of Parliament were asked the same questions regarding their entrepreneurial activities as found in the Global Entrepreneurship Monitor (GEM). The empirical results indicate that when, we analyse the statistical significance of the differences and control for individual characteristics, policymakers have similar experiences and ambitions to the rest of the population when it comes to entrepreneurial activities. Policymakers have a high potential for becoming entrepreneurs in the future, but seem to be less optimistic about how entrepreneurs are perceived in the Swedish cultural context. In addition, there is a substantial discrepancy between how policymakers and voters perceive the ease of starting and running a business. Unlike policymakers, voters do not agree that it is easy to start and run a business in Sweden. |
| Keywords: | Entrepreneurship policy; attitudes; experience; culture |
| JEL: | L26 L53 |
| Date: | 2011–05–30 |
| URL: | http://d.repec.org/n?u=RePEc:hhs:ratioi:0167&r=cse |
| By: | Aurora A.C. Teixeira (CEF.UP, Faculdade de Economia, Universidade do Porto; INESC Porto; OBEGEF) |
| Abstract: | Despite the vitality and dynamism that the field of entrepreneurship has experienced in the last decade, the issue of whether it comprises an effective network of (in)formal communication linkages among the most influential scholars within the area has yet to be examined in depth. This study follows a formal selection procedure to delimit the ‘relational environment’ of the field of entrepreneurship and to analyze the existence and characterization of (in)visible college(s) based on a theoretically well-grounded framework, thus offering a comprehensive and up-to-date empirical analysis of entrepreneurship research. Based on more than a thousand papers published between 2005 and 2010 in seven core entrepreneurship journals and the corresponding (85 thousand) citations, we found that entrepreneurship is an (increasingly) autonomous, legitimate and cohesive (in)visible college, fine tuned through the increasing visibility of certain subject specialties (e.g., family business, innovation, technology and policy). Moreover, the rather dense formal links that characterize the entrepreneurship (in)visible college are accompanied by a reasonably solid network of informal relations maintained and sustained by the mobility of ‘stars’ and highly influential scholars. The limited internationalization of the entrepreneurship community, reflected in the almost total absence of non-English-speaking authors/studies/outlets, stands as a major quest for the field. |
| Keywords: | Invisible College; Entrepreneurship; Bibliometrics |
| JEL: | Z10 L26 C89 |
| Date: | 2011–06 |
| URL: | http://d.repec.org/n?u=RePEc:por:fepwps:416&r=cse |
| By: | Sebastian Nielen (Schumpeter School of Business and Economics at the University of Wuppertal); Alexander Schiersch (German Institute for Economic Research, Berlin) |
| Abstract: | This paper addresses the relationship between the utilization of temporary agency workers by firms and their competitiveness measured by unit labor costs, using a rich, newly built, data set of German manufacturing enterprises. The analysis is conducted by applying different panel data models while taking the inherent selection problem into account. Making use of dynamic panel data models allows us to control for firm specific fixed effects as well as for potential endogeneity of explanatory variables. The results indicate a U-shaped relationship between the extent that temporary agency workers are used and the competitiveness of firms. |
| Keywords: | temporary agency work, competitiveness, firm performance, manufacturing |
| JEL: | D24 J24 L60 |
| Date: | 2011–06 |
| URL: | http://d.repec.org/n?u=RePEc:bwu:schdps:sdp11006&r=cse |
| By: | Arup Mitra (University of Delhi - University of Delhi - University of Delhi); Chandan Sharma (Institue of Financial management - Institue of Financial management - Institue of Financial management); Marie-Ange Veganzones (CERDI - Centre d'études et de recherches sur le developpement international - CNRS : UMR6587 - Université d'Auvergne - Clermont-Ferrand I) |
| Abstract: | Drawing on a recent dataset of the Indian manufacturing industry for 1994 to 2008, this paper shows for eight sectors that core infrastructure and Information & Communication Technology (ICT) matter for Total Factor Productivity (TFP) and Technical Efficiency (TE).In the analysis, we use a range of advanced estimation techniques to overcome problems of non-stationary, omitted variables, endogeneity and reverse causality (such as System-GMM, panel cointegration and FMOLS). Estimation results suggest that the impact of core infrastructure is rather strong on TFP and TE (elasticity of 0.32 and 0.17 respectively), while the effect of ICT appears slightly smaller (0.12 and 0.08, respectively). This finding is of particular importance in the Indian context of infrastructure bottlenecks. It strongly supports the idea that a lack of infrastructure can hamper growth in developing countries. Our results also reveal that the impact of infrastructure and ICT varies among the industries. Interestingly, Transport Equipments, Metal & Metal Products and Textile, which are sectors relatively more exposed to foreign competition, are also found to be more sensitive to infrastructure endowment. This result can be extended to the Chemical industry for TE. This finding implies that improving core and ICT infrastructure would proportionally benefit more to these sectors, which could play a leading role in the competitiveness and the industrial growth of the Indian economy. |
| Keywords: | infrastructure;Manufacturing Industry;India;Information and Communication Technology;total factor productivity;Technical efficiency |
| Date: | 2011–06–01 |
| URL: | http://d.repec.org/n?u=RePEc:hal:wpaper:halshs-00597656&r=cse |
| By: | Alessandra Colombelli; Naciba Haned; Christian Le Bas |
| Abstract: | In the paper we wish to examine if the firms that innovate know a higher growth than the firm that do not. We use diverse waves of CIS for the French industries over the period 1992- 2004 and carry out different models and new econometric methods (quantile regression). Our main findings are that innovative firms produce more growth than non innovative firms. The estimates show that the results are robust to the different types of models that we have implemented. Process innovators are more productive in terms of growth than product innovators when OLS and Random effects models are used. The reverse is true for Fix effect model and quantile regression. In the three growth equations estimated by GMM the coefficients related to innovation product are always higher. Our study does not give definitive results with respect to the magnitude of the effects of the type of innovation on firm growth. |
| Keywords: | Innovation, process and product, firm growth, CIS |
| JEL: | L20 L60 O31 O33 |
| Date: | 2011–06 |
| URL: | http://d.repec.org/n?u=RePEc:icr:wpicer:07-2011&r=cse |
| By: | Armando Silva (Instituto Politécnico do Porto - ESEIG); Oscar Afonso (Faculdade de Economia, Universidade do Porto, CEFUP and OBEGEF); Ana Paula Africano (Faculdade de Economia, Universidade do Porto and CEFUP) |
| Abstract: | By combining economic and financial data for Portuguese manufacturing firms with data on their exports and imports, we uncover some aspects of the relationship between international trade engagement and firms’ performance. In line with recent theoretical and empirical developments in the international trade literature: (i) we testify that Portuguese international trade is highly concentrated, especially on the import side, and both in inter- and intra-sector terms; (ii) we corroborate previous studies and theses according to which two-way traders outperform only importers, only exporters and above all domestic firms; (iii) we find that the greater the diversification of markets and goods (especially with regard to imports), the better the performance achieved by internationalised firms; (iv) we notice that the higher the intensity of international trade of firms (especially imports), the better the performance of firms; (v) we also present evidence that destination markets, for exports, and, origin markets, for imports, are also important in explaining firm performance. |
| Keywords: | International trade, Firm performance, Diversification |
| JEL: | C23 F14 F23 |
| Date: | 2011–05 |
| URL: | http://d.repec.org/n?u=RePEc:mde:wpaper:0037&r=cse |
| By: | Harold Creusen; Arjan Lejour |
| Abstract: | This paper analyses the export market entry decisions of Dutch firms and their subsequent growth or market exit. Exporters, particularly when entering new markets, have to learn about market conditions and to search for new trade relations under uncertainty. In that sense the paper also investigates the role of economic diplomacy and knowledge spillovers from colleague-exporters. We combine detailed international trade data by firm and destination between 2002 and 2008 with firm data and export market haracteristics in order to disentangle the firm and country determinants of successful and less successful export behaviour. First, we find that about 5% of all Dutch exporters have just started in their first market and a similar share of exporters ceases all exports. Still, the starting exporters increase their exports very fast. In each market their export growth in their third year as exporter is about twice as high as for established exporters. Many starters also increase their exports by expanding their number of destinations, but they will retreat swiftly if they are not successful. For all exporters we find that more productive and larger firms are more inclined to enter (additional) export markets, and that larger firms are less likely to leave a market. Market characteristics are important as well. Distance and import tariffs reduce the probability to enter the market and increase the probability to exit. Not only distance to the home country matters, but also the distance to export markets already accessed. Firms seem to follow a stepping stone approach for reaching markets further away (physically and culturally). They first enter more nearby markets before moving to more distant markets. Finally, we find that the presence of support offices abroad and trade missions in destination countries, particularly middle income countries, stimulate the entry of new exporters and the growth of export volume. Knowledge spillovers from exporters with the same destinations have also positive effects on market entry. |
| Keywords: | strategic export decisions, sequential export market entry and exit, export growth, economic |
| JEL: | F10 F13 |
| Date: | 2011–05 |
| URL: | http://d.repec.org/n?u=RePEc:wsr:wpaper:y:2011:i:069&r=cse |
| By: | Sayeeda Bano (University of Waikato); Frank Scrimgeour (University of Waikato) |
| Abstract: | This paper investigates the spectacular and successful growth of New Zealand kiwifruit production and exports between 1984 and 2009. It explores the evolution, current status, future prospects and challenges facing the industry where more than 90 percent of the output is exported. The study includes a statistical analysis of the production and consumption of kiwifruit in New Zealand and other countries, with a particular focus on Asia. The product life-cycle model is used to examine the pattern of evolution of New Zealand’s kiwifruit industry while revealed comparative advantage methodology is used to determine whether New Zealand has a comparative advantage in kiwifruit. Finally, econometric analysis is employed to identify and test the strength of key determinants of kiwifruit exports. Empirical analysis suggests that domestic and trading partner incomes, market size and distance are key determinants of kiwifruit export performance. |
| Keywords: | kiwifruit; Zespri; exports; green kiwifruit; gold kiwifruit; product life cycle; horticulture; agriculture |
| JEL: | D91 Q13 Q18 |
| Date: | 2011–06–01 |
| URL: | http://d.repec.org/n?u=RePEc:wai:econwp:11/08&r=cse |
| By: | Mukherjee, Vivekananda (Department of Economics, Jadavpur University); Ramani, Shyama V. (UNU-MERIT, and Ecole Polytechnique Paris) |
| Abstract: | The present paper examines how an innovating firm decides between two forms of voluntary agreements (VA) in a context, where a non-governmental organization (NGO) rather than a regulator watches over citizens' interests. The innovation generates profit and consumer surplus as well as environmental damage. Corporate social responsibility (CSR) within the innovation process is considered in terms of a redistribution of profit towards community development, with or without additional abatement efforts via a VA. Bargaining between firm and NGO yields the amount allocated to community development. The model demonstrates that the firm's choice of VA hinges on the tradeoffs between appropriating the full innovation profit and paying a higher lump sum towards community development or sacrificing some of the innovation profit by lowering innovation effort, but gaining in terms of paying a lesser amount towards community development. CSR with abatement is unlikely in the case of radical innovations. There is also a clear divergence of interests between the firm, the NGO and the State for some parameter configurations, which are duly identified. |
| Keywords: | Corporate social responsibility, voluntary agreements, community development, donations, innovation |
| JEL: | M14 O32 O33 |
| Date: | 2011 |
| URL: | http://d.repec.org/n?u=RePEc:dgr:unumer:2011016&r=cse |
| By: | Maria Angelica Arbelaez; Monica Parra Torrado |
| Abstract: | This paper attempts to establish a formal relationship between innovation and productivity using Colombian firm-level data. It is found that the production of goods and services new to the firm and to the domestic market enhances firms` sales per worker, and innovation that results in introducing new goods and services to the international market boosts both sales and Total Factor Productivity (TFP). Innovation in processes likewise improves firms` productivity and sales. Finally, innovation in marketing and management increases sales per worker and enhances TFP when investment is made in Research and Development. The paper also studies the factors behind firms` decision to invest in innovation, the intensity of such investment and the returns to investment in innovation. |
| JEL: | C21 C31 C34 C35 L60 O31 O32 O14 O47 |
| Date: | 2011–05 |
| URL: | http://d.repec.org/n?u=RePEc:idb:wpaper:4717&r=cse |
| By: | Halkos, George; Tzeremes, Nickolaos |
| Abstract: | This paper applies a probabilistic approach to investigate how the top European football clubs’ current value and debt levels influence their performance. Specifically, a bootstrapped conditional data envelopment analysis (DEA) is used in order to measure the effect of football clubs’ current value and debt levels on their obtained efficiency performances. The results indicate that football clubs’ current value levels have a positive influence up to a certain point. But as the current value increases the effect is neutral to football clubs’ performance. At the same time, the empirical evidence suggests that there is no influence on football clubs’ efficiencies associated with lower and medium football clubs’ debt levels while higher debt levels appear to have a direct negative effect. |
| Keywords: | European football clubs; Data Envelopment Analysis; Nonparametric regression; Bootstrapping; Probabilistic approach |
| JEL: | C69 C14 L83 |
| Date: | 2011–06 |
| URL: | http://d.repec.org/n?u=RePEc:pra:mprapa:31278&r=cse |
| By: | Roberto Basile; Luigi Benfratello; Davide Castellani |
| Abstract: | We propose a semiparametric geoadditive negative binomial model of industrial location which allows to simultaneously address some important methodological issues, such as spatial clustering and nonlinearities, which have been only partly addressed in previous studies. We apply this model to analyze location determinants of inward greenfield investments occurred over the 2003-2007 period in 249 European regions. The inclusion of a geoadditive component (a smooth spatial trend surface) allows to control for omitted variables which induce spatial clustering, and suggests that such unobserved factors may be related to regional policies towards foreign investors Allowing for nonlinearities reveals, in line with theoretical predictions, that the positive effect of agglomeration economies fades as the density of economic activities reaches some limit value. |
| Keywords: | industrial location, negative binomial models, geoadditive models, european union. |
| JEL: | C14 C21 F14 F23 |
| Date: | 2011–05–02 |
| URL: | http://d.repec.org/n?u=RePEc:pia:wpaper:90/2011&r=cse |
| By: | Fabrice Defever |
| Abstract: | Using six years of firm-level data covering 224 regions of the enlarged European Union, we evaluate the importance to a firm of locating its activities (production, headquarters, R&D, logistics and sales) close together. We find that, after controlling for regional characteristics, being closely located to a previous investment positively affects firm location choice. However, the impact of distance is dependent on the type of investment (production or service). While within-firm co-location is important for both service and production activities, only production plants are likely to be located close to prior production investments. In this latter case, national borders have a surprisingly positive effect, increasing the probability of choosing a nearby location, but on the other side of the border. |
| Keywords: | Functional fragmentation, vertical linkages, location choice |
| JEL: | F23 L22 R3 |
| Date: | 2010–12 |
| URL: | http://d.repec.org/n?u=RePEc:cep:cepdps:dp1029&r=cse |
| By: | Diris, Bart Franciscus (Maastricht University) |
| Date: | 2011 |
| URL: | http://d.repec.org/n?u=RePEc:ner:maastr:urn:nbn:nl:ui:27-25908&r=cse |
| By: | André, Julius Frédéric |
| Date: | 2011 |
| URL: | http://d.repec.org/n?u=RePEc:ner:maastr:urn:nbn:nl:ui:27-25850&r=cse |