nep-cse New Economics Papers
on Economics of Strategic Management
Issue of 2014‒06‒22
sixteen papers chosen by
Joao Jose de Matos Ferreira
University of the Beira Interior

  1. Cooperative R&D networks among firms and public research institutions By Marco Marinucci
  2. Are Regional Systems Greening the Economy? the Role of Environmental Innovations and Agglomeration Forces By Davide Antonioli; Simone Borghesi; Massimiliano Mazzanti
  3. Innovation in the Service Sector and the Role of Patents and Trade Secrets By MORIKAWA Masayuki
  4. Cluster Policies and Firm Selection: Evidence from France By Lionel Fontagné; Pamina Koenig; Florian Mayneris; Sandra Poncet
  5. On firms' product space evolution: the role of firm and local product relatedness By Alessia LO TURCO; Daniela MAGGIONI
  6. Are knowledge flows all alike? Evidence from European regions By F. Quatraro; S. Usai
  7. Inventor Diasporas and the Internalionalization of Technology By Ernest Miguélez
  8. Russian policies in support of innovation: elusive quest for efficiency By Simachev, Yuri; Kuzyk, Mikhail; Feygina, Vera
  9. Innovation et intelligence collective By Philippe Bertheau
  10. International division of labour and countries’ competitiveness: the case of Italy and Germany By Garbellini, Nadia
  11. Managing uncertainty in intensive care units: Exploring formal and informal coping practices in a university hospital By Schreyögg, Georg; Ostermann, Simone M.
  12. Institutions and firms'return to innovation : evidence from the world bank enterprise survey By Nguyen, Ha; Jaramillo, Patricio A.
  13. International R&D Spillovers and Unobserved Common Shocks By Ruge-Leiva, Diego-Ivan
  14. Foreign Direct Investment in Japan: A review of the empirical literature (Japanese) By KIYOTA Kozo
  15. Measuring competition in banking : A critical review of methods By Florian LEON
  16. Community Bank Performance: How Important are Managers? By Amel, Dean F.; Prager, Robin A.

  1. By: Marco Marinucci (Bank of Italy)
    Abstract: This paper provides theoretical background to the increasing R&D cooperation among firms and public research institutions. We find that R&D spillovers may impede cooperation among firms or research institutions even when the cost of forming a link is negligible. Further, the presence of heterogeneous players results in different concepts of network regularity but also increases the number of possible pairwise stable networks. Consequently, stronger concepts of stability are needed to study networks in which players are not homogeneous.
    Keywords: networks, innovation, R&D cooperation, spillovers
    JEL: C70 L14 O30
    Date: 2014–06
  2. By: Davide Antonioli (University of Ferrara); Simone Borghesi (University of Siena); Massimiliano Mazzanti (University of Ferrara)
    Abstract: The adoption and diffusion of environmental innovations (EIs) is crucial to greening the economy and achieving win-win environmental – economic gains. A large and increasing literature has focused on the levers underlying EIs that are external to the firm, such as stakeholders’ pressure and policy pressure. Little attention, however, has been devoted so far to the possible role of local spatial spillovers which are one of the factors affecting sector/geographical specialisations. We analyse a rich dataset that covers the innovative activities and economic performances of firms in the Emilia-Romagna region in Italy, an area rich of manufacturing districts. We analyse EIs drivers and effects on firms’ performances through a two-step procedure. First, we look at the relevance of spatial levers, namely whether the agglomeration of EIs induces EIs in a given firm. Second, we test whether EIs are significantly related to firms’ economic performances. As to the importance of spatial levers, the role of agglomeration turns out to be fairly local in nature: we find that spillovers are significantly inducing innovation within municipal boundaries. Regarding economic performances, firms' productivity is positively related to EI adoption; in particular, firms that jointly adopt EIs and organizational changes show a better economic performance.
    Keywords: Environmental Innovations, Firm Economic Performances, Local Spillovers, Manufacturing, Agglomeration.
    JEL: Q5 Q55
    Date: 2014–04
  3. By: MORIKAWA Masayuki
    Abstract: This paper, using Japanese firm-level data, presents findings about innovative activities in the service sector and the role of patents and trade secrets on innovation. According to the analysis, first, service firms have fewer product innovations than do manufacturing firms, but the productivity of innovative service firms is very high. Second, service firms have a low propensity for holding patents, but their holding of trade secrets is comparable to that of the manufacturing firms. Third, patents and trade secrets have positive relationships with product innovations, and the effects are quantitatively similar in magnitude in both the manufacturing and the service sectors. On the other hand, a positive relationship between trade secrets and process innovations is found only in the manufacturing sector. These results suggest a pivotal role of the law protecting trade secrets on innovation and productivity growth in the service sector.
    Date: 2014–06
  4. By: Lionel Fontagné (CEPII - Centre d'Etudes Prospectives et d'Informations Internationales - Centre d'analyse stratégique, EEP-PSE - Ecole d'Économie de Paris - Paris School of Economics - Ecole d'Économie de Paris, Department of Economics - European University Institute); Pamina Koenig (EEP-PSE - Ecole d'Économie de Paris - Paris School of Economics - Ecole d'Économie de Paris, PSE - Paris-Jourdan Sciences Economiques - CNRS : UMR8545 - École des Hautes Études en Sciences Sociales (EHESS) - École des Ponts ParisTech (ENPC) - École normale supérieure [ENS] - Paris - Institut national de la recherche agronomique (INRA)); Florian Mayneris (UCL - Université Catholique de Louvain - Université Catholique de Louvain (UCL) - Belgique, CORE - Center of Operation Research and Econometrics [Louvain] - Université Catholique de Louvain (UCL) - Belgique); Sandra Poncet (EEP-PSE - Ecole d'Économie de Paris - Paris School of Economics - Ecole d'Économie de Paris, CES - Centre d'économie de la Sorbonne - CNRS : UMR8174 - Université Paris I - Panthéon-Sorbonne)
    Abstract: In this paper, we shed light on the selection of the benefi ciaries from the French competitiveness cluster policy which was launched in 2005 and extended to 2012. We disentangle the selection and self-selection eff ects, as emphasized in the theoretical literature on regional and industrial policy. Our main conclusion is that winners were (self-)selected at both steps of the procedure, and that this holds for the three cluster types: worldwide clusters , potentially worldwide clusters and national clusters . We thus provide a methodology which allows us to contrast the e ffective outcomes of the selection process and the official objectives of cluster policies in terms of targeting, and which thus helps in their econometric evaluation.
    Keywords: Competitiveness, clusters, international trade, fi rm selection
    Date: 2013–12–09
  5. By: Alessia LO TURCO (Universit… Politecnica delle Marche, Dipartimento di Scienze Economiche e Sociali); Daniela MAGGIONI (Universit… Politecnica delle Marche, Dipartimento di Scienze Economiche e Sociali)
    Abstract: We explore the role of firm and local product-specific capabilities in fostering the introduction of new products in the Turkish manufacturing. Firms' product space evolution is characterised by strong cognitive path dependence which, however, is relaxed by firmheterogeneity in terms of size, efficiency and international exposure. The introduction of new products in laggard Eastern regions, which is importantly related to the evolution of their industrial output, is mainly affected by firm internal product specific resources. On the contrary, product innovations inWestern advanced regions hinge relatively more on the availability of suitable local competencies.
    Keywords: Firm heterogeneity, Product Innovation
    JEL: D22 O12 O53
    Date: 2014–06
  6. By: F. Quatraro; S. Usai
    Abstract: The paper investigates the impact of distance, contiguity and technological proximity on cross- regional knowledge flows, by comparing the evidence concerning co-inventorship, applicant-inventor relationships and citation flows. We find evidence of significant differences across these diverse kinds of knowledge flows for what concerns the role of distance, and the moderating role of contiguity and technological proximity. Moreover, we show that border effects may prove crucial in a twofold sense. On the one hand we show that contiguity between regions belonging to two different countries still plays a moderating role, although weaker as compared to that of within-country contiguity. On the other hand, regions sharing a frontier with a foreign country are more likely to exchange knowledge with this foreign country than other regions which are far away from the border.
    Keywords: regional competitiveness, Patents, knowledge flows, gravity, europe, Border regions
    JEL: R11 O33
    Date: 2014
  7. By: Ernest Miguélez (GREThA - UMR CNRS 5113, Universite Montesquieu)
    Abstract: This paper documents the influence of diaspora networks of highly-skilled individuals – i.e., inventors – on international technological collaborations. Using gravity models, it studies the determinants of the internationalization of inventive activity between a group of industrialized countries and a sample of developing and emerging economies. The paper examines the influence exerted by skilled diasporas in fostering cross-country co-inventorship as well as R&D offshoring. The study finds a strong and robust relationship between inventor diasporas and different forms of international co-patenting. However, the effect decreases with the level of formality of the interactions. Interestingly, some of the most successful diasporas recently documented – namely, Chinese and Indian ones – do not govern the results.
    Keywords: inventors, diaspora networks, international collaborations, R&D offshoring, PCT patents
    JEL: C8 J61 O31 O33 R0
    Date: 2014–06
  8. By: Simachev, Yuri; Kuzyk, Mikhail; Feygina, Vera
    Abstract: Focused on the efficiency of the Russian innovation-fostering policy, the research is based on an empirical analysis of how policy instruments impact firms’ behavior. The data is obtained from two surveys of more than 600 Russian industrial companies in 2011-2012. The analysis shows that tax incentives are more conducive to innovations with a longer payback period, whereas public funding is more likely to facilitate launching new innovative projects. At the same time, both kinds of innovation support tools are affected by crowding out private funds by public ones. Besides, innovation policy design and administration are not friendly to young companies.
    Keywords: innovation; firm behavior; tax incentives; public subsidies and grants; evaluation of government innovation policy
    JEL: L20 O31 O32 O38
    Date: 2014–01
  9. By: Philippe Bertheau (LIRSA - Laboratoire Interdisciplinaire de Recherche en Sciences de l'Action - Conservatoire National des Arts et Métiers (CNAM) : EA4603)
    Abstract: Research states that the success of a specific innovation cannot be predicted. As a consequence, the value of such an innovation can only be stated very late in the development process, or even in retrospect. Our empirical research shows that professionals directly engaged in the design process are able to perform an early and complete valuation, and that similar patterns emerge during this valuation process.
    Keywords: innovation, value, innovative design, business model, valuation
    Date: 2014–06–13
  10. By: Garbellini, Nadia
    Abstract: The paper is going to use the WIOD to analyse the structure, extent and evolution of production processes outsourcing in Italy and Germany from 1995 to 2011 by means of global vertically integrated sectors, in order to single out and compare the different sources of gains/losses in competitiveness. Secondly, global vertically integrated sectors are going to be employed to get a measure of labour productivity changes in the two countries. By comparing the trends of these two sets of indicators, it is possible to shed light on the evolution of international competitiveness in the two countries, to assess the extent to which competitiveness gains/losses are associated to actual productivity increases/decreases and to what extent they are simply due to a different geographical allocation of production stages.
    Keywords: Labour productivity, International fragmentation of production, offshoring
    JEL: B51 F14 R15
    Date: 2014–06–09
  11. By: Schreyögg, Georg; Ostermann, Simone M.
    Abstract: [Introduction ...] The paper is organized as follows: First, we develop a frame of reference based on a brief overview of the concepts of risk and uncertainty and organizational responses. The second part presents our empirical investigation. We briefly report on the results of our exploratory study and then describe first findings of our main study. In part three we will discuss our findings in the light of modern organizational theory. Part four highlights the limitations of our study and discusses implications for further analysis and theoretical conclusions. --
    Date: 2014
  12. By: Nguyen, Ha; Jaramillo, Patricio A.
    Abstract: This paper poses a question: do firms in developing countries not innovate because they are unwilling to? The question moves away from the conventional focus on the obstacles (such as the lack of access to finance) that hinder firms'innovation ability. The World Bank's Enterprise Survey is used first to estimate the return to firms'innovation across many developing countries, in terms of sales and sales per worker. Then the return to innovation is compared across countries with different levels of institutional quality. In countries with lower institutional quality (specifically, rule of law, regulatory quality, property and patent right protection), the return to firms'innovation is lower. This suggests that poor institutional environment lowers firms'return to innovation and hence discourages them from investing in researching and adopting new products.
    Keywords: Debt Markets,E-Business,Labor Policies,Microfinance,Innovation
    Date: 2014–06–01
  13. By: Ruge-Leiva, Diego-Ivan
    Abstract: This paper investigates whether returns to domestic R&D and international R&D spillovers should be estimated without considering the heterogeneous impact of unobserved common shocks, as has been done by the literature in this area. Using a panel of 50 economies from 1970-2011, I find that when unobserved common shocks are disregarded, estimates of domestic R&D and foreign R&D weighted by bilateral imports might be biased and inconsistent. Once unobserved common factors are accounted for, by allowing for heterogeneous technology coefficients, significant estimates become more sizable, consistent and not seriously biased in most cases. However, these estimates might be capturing not only returns to domestic R&D and trade-related knowledge spillovers, but also unobserved common spillovers and other effects. This indicates that knowledge spillovers and effects of unknown form cannot be easily separated. Therefore, unobserved common shocks should not be ignored when estimating returns to domestic R&D and international R&D spillovers.
    Keywords: Productivity, Spillovers, Cross-Section Dependence, Unobserved Common Shocks.
    JEL: C23 O11 O30 O40
    Date: 2014–06–16
  14. By: KIYOTA Kozo
    Abstract: This paper surveys the recent literature that empirically examines foreign direct investment (FDI) in Japan. This paper focuses on the quantitative evidence on the following questions: 1) Did FDI in Japan accelerate economic growth? 2) What are limiting factors for FDI in Japan? 3) Are there any differences between foreign-owned firms and Japanese-owned firms? 4) Why is the productivity of foreign-owned firms high? 5) Do foreign-owned firms undergo massive restructuring? 6) Does the entry of foreign-owned firms cause severe competition? 8) Are there any spillover effects from foreign-owned firms to domestic firms? This paper summarizes the facts and issues on FDI in Japan.
    Date: 2014–06
  15. By: Florian LEON
    Abstract: Many studies have attempted to investigate the determinants and implications of competition in the banking industry. The literature on the measurement of competition can be divided between the structural and non-structural approaches. The structural approach infers the degree of competition from the structure of the market. The non-structural approach, based on the New Empirical Industrial Organization, assesses the degree of competition directly by observing behavior of firms in the market. This paper reviews the most frequently-used structural and non structural measures of competition in banking. It highlights their strengths and weaknesses, especially for studies based on a limited number of observations.
    Keywords: competition, Bank, HHI, Lerner index, Conjectural variation model, Panzar-Rosse model, Boone indicator
    JEL: O55 L13 L11 G21 D4
  16. By: Amel, Dean F. (Board of Governors of the Federal Reserve System (U.S.)); Prager, Robin A. (Board of Governors of the Federal Reserve System (U.S.))
    Abstract: Community banks have long played an important role in the U.S. economy, providing loans and other financial services to households and small businesses within their local markets. In recent years, technological and legal developments, as well as changes in the business strategies of larger banks and non-bank financial service providers, have purportedly made it more difficult for community banks to attract and retain customers, and hence to survive. Indeed, the number of community banks and the shares of bank branches, deposits, banking assets, and small business loans held by community banks in the U.S. have all declined substantially over the past two decades. Nonetheless, many community banks have successfully adapted to their changing environment and have continued to thrive. This paper uses data from 1992 through 2011 to examine the relationships between community bank profitability and various characteristics of the banks and the local markets in which they operate. Bank characteristics examined include size, age, ownership structure, management quality, and portfolio composition; market characteristics include population, per capita income, unemployment rate, and banking market structure. We find that community bank profitability is strongly positively related to bank size; that local economic conditions have significant effects on bank profitability; that the quality of bank management matters a great deal to profitability, especially during times of economic stress; and that small banks that make major shifts to their lending portfolios tend to be less profitable than other small banks. Variables within managers' control account for between 70 percent and 96 percent of the total explanatory power of equations explaining variations in performance across community banks.
    Keywords: Banking; community banks; bank profitability; management quality
    Date: 2014–03–18

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