|
on Economics of Strategic Management |
|
Issue of 2014‒11‒17
thirty-six papers chosen by João José de Matos Ferreira Universidade da Beira Interior |
| By: | Erika Raquel Badillo (Faculty of Economics, University of Barcelona); Rosina Moreno (Faculty of Economics, University of Barcelona) |
| Abstract: | This paper aims to estimate the impact of research collaboration with partners in different geographical areas on innovative performance. By using the Spanish Technological Innovation Panel, this study provides evidence that the benefits of research collaboration differ across different dimensions of the geography. We find that the impact of extra-European cooperation on innovation performance is larger than that of national and European cooperation, indicating that firms tend to benefit more from interaction with international partners as a way to access new technologies or specialized and novel knowledge that they are unable to find locally. We also find evidence of the positive role played by absorptive capacity, concluding that it implies a higher premium on the innovation returns to cooperation in the international case and mainly in the European one. |
| Keywords: | Innovation cooperation; Technological partners; Geographical location; Performance; Absorptive Capacity; Spanish firms JEL classification: L25; O31; O33; R1 |
| Date: | 2014–11 |
| URL: | http://d.repec.org/n?u=RePEc:ira:wpaper:201428&r=cse |
| By: | Quan Hoang Vuong |
| Abstract: | This short conference paper serves as a distillation of a keynote address delivered at the the Second National Conference on Management and Higher Education Trends & Strategies for Management & Administration hosted by Bangkok-based Stamford International University (Thailand) on November 1, 2014.Innovation is discussed as the heart of entrepreneurial processes occurring in today's capitalist economic systems, including transition economies like China and Vietnam, which underscores economic competitiveness of firms and economies. But the innovation effort and process also face dilemma of "entrepreneurial curse of innovation". Advantages and disadvantages are weighed for a more balanced view, especially in the context of outnumbering SMEs and given existence of pitfalls and traps along the innovation path of development. Toward the end, the value of the market is once again stressed amid the concern of subjective assumption and illusion about availability of market opportunities in the mind of innovators, which may contrast totally with the dismal outcome the actual market realities may show ex post. |
| Keywords: | innovation; emerging markets; capitalist economic system; entrepreneurial process |
| JEL: | L26 O32 P17 P23 |
| Date: | 2014–11–05 |
| URL: | http://d.repec.org/n?u=RePEc:sol:wpaper:2013/177171&r=cse |
| By: | Covi, Giovanni |
| Abstract: | The paper aims at investigating the possible trajectories of regional clusters (industrial districts or local systems) in order to depict feasible strategies to cope with globalization. First, same relevant stylized facts on the new structure of global market are presented in order to illustrate the new competitive framework the SME must face. Second, the concept of ‘complete productive process’ is introduced to characterize the special setting is necessary for the survival of the regional systems of SME. Said briefly, a local cluster needs to co-produce values, capabilities, institutions: its very identity. Since local systems are essentially ‘cognitive systems’, they need to go global not as single firm but as a system. To accomplish this difficult task they must resort to a collective and cooperative behaviour. The paper tries to fill this gap introducing the concept of ‘Collective Local Entrepreneurship’, a reference point, a device to whom anchor the strategic pragmatism necessary to regional clusters to cope with globalization. The renewal of the local ‘ecosystems’ within the international networks (at all different levels) appears to be a general objective. A strong public-private partnership emerges as a strategic commitment. In this perspective the paper tries to capture, as a conclusion, the potential dynamics of the four evolutionary trajectories, which the regional clusters are called upon to deal with. |
| Keywords: | Industrial clusters; innovation; knowledge; industrial policy; entrepreneurship. |
| JEL: | L22 L26 O25 O31 |
| Date: | 2014–01–31 |
| URL: | http://d.repec.org/n?u=RePEc:pra:mprapa:59092&r=cse |
| By: | Katharina Eck (University of Munich); Stephan Huber |
| Abstract: | Foreign direct investment (FDI) in developing countries is often associated with higher economic growth due to knowledge and technology spillovers to local firms. One way how FDI speeds up growth is that it facilitates the manufacturing of more sophisticated products by local firms. So far, firm-level evidence is missing on how the presence of multinational firms affects the product sophistication of firms in a developing country. This paper aims to fill this gap. We compile an extensive firm-product-level dataset of Indian manufacturing firms which we complement with information on product sophistication and spillovers from FDI. We then explore different channels through which spillovers from multinationals to local Indian firms foster the manufacturing of sophisticated products. We find evidence that spillovers through supplier linkages strongly increase the manufacturing of sophisticated products in India. |
| Keywords: | Multinational Firms, Spillovers, Sophistication, Technological Change |
| JEL: | F23 O1 O3 |
| Date: | 2014–05 |
| URL: | http://d.repec.org/n?u=RePEc:ost:wpaper:340&r=cse |
| By: | Claire Nauwelaers; Karen Maguire; Giulia Ajmone Marsan |
| Abstract: | The island of Ireland, which includes both Ireland and Northern Ireland (United Kingdom), is home to 6.4 million people and has a combined economic output of USD 205 billion. Several cross-border institutions were created in response to the 1998 Belfast/Good Friday Agreement to recreate functional economic linkages across the border. InterTradeIreland is a rare example internationally of a cross-border entity to promote trade and innovation that is co-funded by respective governments. These efforts have led to stability in funding such programmes. The differences between the public sector driven economy in Northern Ireland and the dual economy of Ireland (outward looking multinationals and the local small and medium-sized enterprise base) are a challenge for cross-border efforts. This case study is part of the project Regions and Innovation: Collaborating Across Borders. A summary of this working paper appears in a report of the same name. |
| JEL: | L52 L53 O14 O18 O38 R11 R58 |
| Date: | 2013–12–12 |
| URL: | http://d.repec.org/n?u=RePEc:oec:govaab:2013/20-en&r=cse |
| By: | Knut Blind (Berlin University of Technology, Faculty of Economics and Management, and Chair of Innovation Economics, Fraunhofer Institute for Open Communication Systems FOKUS Public Innovation, Berlin, Germany.); Tim Pohlmann (Berlin University of Technology, Faculty of Economics and Management, Berlin, Germany); Florian Ramel (Berlin University of Technology, Faculty of Economics and Management, Berlin, Germany); Sacha Wunsch-Vincent (Economics and Statistics Division, WIPO) |
| Abstract: | This paper discusses the state of innovation in the Egyptian information technology sector (IT) and the corresponding role of intellectual property (IP). The Egyptian ICT sector is an important contributor to economic growth and employment. Having established itself as a leading supplier of ICT back office operation and services for multinational enterprises, moving up the value ladder towards the production and exports of higher value-added software and ICT services is now the priority. In this context, this working paper seeks to identify the current and potential role of IP for the Egyptian ICT sector, and the links between IP and innovation and FDI. First, the study describes the key characteristics of the Egyptian ICT sector, including its innovative activities. Second, after a discussion of the role of IP in the ICT industry, it describes what the current use of IP is in Egypt’s ICT sector. Finally, it proposes IP-related policies which could contribute to promoting domestic innovation. It also formulates areas for future research which touch upon the interface of ICT services and business process outsourcing and the role of IP, and the hurdles that low- and middle-income economies face in successfully penetrating the global IT innovation networks. |
| Keywords: | Egypt, information technology, business process outsourcing, intellectual property, innovation |
| JEL: | F23 L86 L96 O14 O3 |
| Date: | 2014–06 |
| URL: | http://d.repec.org/n?u=RePEc:wip:wpaper:18&r=cse |
| By: | Claire Nauwelaers; Karen Maguire; Giulia Ajmone Marsan |
| Abstract: | The Top Technology Region/Eindhoven-Leuven-Aachen triangle (TTR-ELAt) is an initiative to support cross-border collaboration in a densely populated network of small and medium-sized cities located at the heart of western Europe with an annual economic output of USD 244 billion. The collaboration spans three countries, four science and technology policy regimes and six sub-regions. The collaboration centres on a shared recognition of technological strengths (chemicals and advanced materials, high-tech systems and health sciences). The area seeks to better capitalise on its skilled workforce, multinational enterprises and strong research facilities. While building on decades of cross-border activities, the TTR-ELAt seeks to overcome cumbersome governance issues to create the benefits of agglomeration with complementarity expertise so as to increase international attractiveness. This case study is part of the project Regions and Innovation: Collaborating Across Borders. A summary of this working paper appears in a report of the same name. |
| JEL: | L52 L53 O14 O18 O38 R11 R58 |
| Date: | 2013–12–11 |
| URL: | http://d.repec.org/n?u=RePEc:oec:govaab:2013/22-en&r=cse |
| By: | Simona De Rosa; Filippo Randelli; Luca Salvati |
| Abstract: | Strategic alliances are considered to be a way for private sector firms to fill production gaps and to improve performance through collaboration with partners. The creation of such alliances is indeed shown to increase the competitiveness of firms in national and international frameworks. Recently, such alliances have also been seen as one response of small and medium enterprises to the global economic crisis. This study aims to analyse the dynamics of recent Italian strategic alliances of this type by using a recent database of 333 alliances involving 1,800 companies. The companies and their alliances have been classified according to attributes including specialisation (classified using NACE-REV nomenclature) and location (administrative region and province). The spatial distribution of strategic alliances was studied, taking into account factors such as technological intensity, geographical distribution of companies, and agglomeration factors and networks, at both provincial and regional levels uusing descriptive, correlative and multivariate statistics. We show that the effects of various factors vary spatially, and the descriptors of the spatial distribution of strategic alliances across Italy extend beyond the traditional north/south divide. |
| Date: | 2014 |
| URL: | http://d.repec.org/n?u=RePEc:frz:wpaper:wp2014_19.rdf&r=cse |
| By: | Petr Hanel (Département d'économique, Université de Sherbrooke, Centre interuniversitaire de recherche sur la science et la technologie (CIRST), UQAM) |
| Abstract: | Biotechnology is still in the early stage of development. It offers a window of opportunity for emerging developing countries catching up. Scientific research and industrial applications of biotechnology in China have been rapidly developing. The paper examines whether Chinese biotechnology is catching up leaders in the field. The approach follows the conceptual framework of Malerba’s Sectoral System of Innovation and Production (Malerba and Nelson, 2012), complemented by Mathew’s (2002) insight into strategies for latecomer firms. The data for the empirical analysis are mostly from China’s Science and Technology and High Technology Industry Yearbooks and bibliographic data on Chinese scientific publications and patenting. Brief case studies of outstanding organizations complement the statistical analysis. The results of the study show that China is fast catching up in scientific research, and more moderately in industrial production of biotechnology-based manufacturing of drugs and medical devices. |
| Date: | 2014–11 |
| URL: | http://d.repec.org/n?u=RePEc:shr:wpaper:14-08&r=cse |
| By: | Edquist , Charles (CIRCLE, Lund University) |
| Abstract: | The concept of a holistic innovation policy is defined in this article, with discussions of what it is, why it is relevant, and how it can be implemented to enhance product innovation. It is shown that the innovation systems approach has diffused rapidly during the latest decades and has completely replaced the linear view in the field of innovation research. The majority of European countries are striving in the direction of developing a more holistic innovation policy. However, it is concluded that the innovation policies in European countries are still dominantly linear despite the fact that holistic policy seems to be the driving vision. Innovation policy is behindhand. Why innovation policy is still linear is also preliminarily discussed. Policymakers attending conferences on innovation are practically always in favor of holistic (systemic, broad-based, comprehensive, etc) innovation policies, have abandoned the linear view by learning from innovation research. The division between “linear” and “holistic” seems to be located within the community where innovation policies are designed and implemented, a community composed of policymakers (administrators/bureaucrats) and elected politicians. Perhaps the dividing line is between these two groups in that politicians, who actually make the decisions, may still reflexively believe in the linear view. Nevertheless, there seems to be a failure in communication between researchers and politicians in the field of innovation and there is therefore a strong need to involve innovation researchers in policy design and implementation to a much higher degree. Another way to increase the degree of holism could be to separate innovation policy from research policy, since their integration tends to cement the linear character of innovation policy. The empirical results are based on a questionnaire sent to twenty-three EU Member States, out of which nineteen (83%) responded. Part of the work for this article was carried out for the European Research and Innovation Area Committee (ERAC) of the European Commission (DG RTD). |
| Keywords: | Innovation; innovation policy; holistic innovation policy; research policy; the linear view; systems of innovation |
| JEL: | L38 M38 O25 O31 O32 O33 |
| Date: | 2014–10–29 |
| URL: | http://d.repec.org/n?u=RePEc:hhs:lucirc:2014_022&r=cse |
| By: | ITO Asei; Zhuoran LI; Min WANG |
| Abstract: | Since the Chinese government's rapid increase in expenditure on science and technology (S&T) during the 2000s, numerous related policies have been implemented by national-, provincial-, city-, and prefecture-level governments in China. Each level of government aims to promote innovation activities; however, few empirical evaluations have been conducted on each policy level and category. This paper estimates the treatment effects of innovation policies at each government level and category by using firm-level survey data from the inland city of Chengdu. Results suggest that S&T policies stimulate effective firm-level innovation activities; in particular, city-level policies and various government services. On the other hand, some policy categories, including tax incentives, seem to be inefficient. Restructuring the current policy menu and establishing further feedback mechanisms for S&T policy will improve the efficacy of such spending. |
| Date: | 2014–09 |
| URL: | http://d.repec.org/n?u=RePEc:eti:dpaper:14056&r=cse |
| By: | Yana Rubashkina; Marzio Galeotti; Elena Verdolini |
| Abstract: | This paper represents an empirical investigation of the “weak” and “strong” Porter Hypothesis (PH) focusing on the manufacturing sectors of European countries between 1997 and 2009. By and large, the literature has analyzed the impact of environmental regulation on innovation and on productivity generally in separate analyses and mostly focusing on the USA. The few existing studies focusing on Europe investigate the effect of environmental regulation either on green innovation or on performance indicators such as exports. We instead look at overall innovation and productivity impact that are the most relevant indicators for the “strong” PH. This approach allows us to account for potential opportunity costs of induced innovations. As a proxy of environmental policy stringency we use pollution abatement and control expenditures (PACE), which represent one of the few indicators available at the sectoral level. We remedy upon its main drawback, that of potential endogeneity of PACE, by adopting an instrumental variable estimation approach. We find evidence of a positive impact of environmental regulation on the output of innovation activity, as proxied by patents, thus providing support in favor of the “weak” PH in line with most of the literature. On the other front, we find no evidence in favor or against the “strong” PH, as productivity appears to be unaffected by the degree of pollution control and abatement efforts. |
| Keywords: | Environmental Regulation, Innovation, Productivity, Competitiveness, Porter Hypothesis |
| JEL: | Q50 Q52 Q55 Q58 O31 |
| Date: | 2014 |
| URL: | http://d.repec.org/n?u=RePEc:bcu:iefewp:iefewp69&r=cse |
| By: | Sahu, Santosh Kumar; Krishnan, Narayanan |
| Abstract: | Obtaining ISO certification has become a status symbol for adopting environmentally benign practices for the corporate sector in emerging economies. Such certification can help improve the global visibility of firms and is mandated in international trade. This paper attempts to examine the impact of such certifications on technical efficiency of firms belonging to the manufacturing sector in India. In analysing the impact of ISO Certification on technical efficiency, this paper uses data from the CMIE Prowess for the period 2007-2012. In the first step, the paper estimates technical efficiency for the sample firms and then examines the determinants of inter-firm differences in technical efficiency using firm specific characteristics. The results of this study conclude that there are substantial inter-firm differences in technical efficiency and they are systematically different based on firm age, firm size, debt capital, MNE affiliation, and ISO certification. ISO certification, especially maintaining the standards associated with it, turned out to be an important factor in making the firms achieve higher technical efficiency. In addition, the results of this study also confirms that firms that are ISO certified and doing R&D are better off in technical efficiency as compared to the others. |
| Keywords: | ISO certification, R&D, Efficiency, Manufacturing Firms, India |
| JEL: | L11 L22 Q57 |
| Date: | 2014–10–13 |
| URL: | http://d.repec.org/n?u=RePEc:pra:mprapa:59451&r=cse |
| By: | Deltas, George; De Silva, Dakshina G.; McComb, Robert P. |
| Abstract: | We use geocoded administrative data from Texas on all business establishments to estimate the effects of localization economies on the spatial persistence of industrial employment for the software industry. We decompose this persistence into components arising from entry rates, firm growth, and exit rates. Unlike previous research that has used geographies based on county and MSA divisions, this analysis takes place at a very high level of spatial resolution in which the industrial composition is identified within areas as small as one mile in radius. The choice of the software industry allows us to isolate the effects arising from human capital spillovers and the effects arising from the labor pool channel from other sources of agglomeration economies. Moreover, the decomposition of the employment persistence in entry, growth and exit, and the high level of spatial resolution allow us to distinguish between these two effects and has a number of other advantages. The results suggest that a location, defined as a 1-mile radium circle, with an initial concentration of software industry employment, retains a disproportionate number of software industry employees 6 years later. Software industry employment in the surrounding area has a small and often insignificant effect, i.e., any agglomeration effects dissipate rapidly over space. The results are not driven by higher growth rates of software establishments in high concentration locations or by differences in the survival probabilities. Rather, they are fully accounted for by two factors: (i) the retention of jobs lost by an establishment in a location by other establishments in that same location and (ii) an increased propensity of software establishments to enter in or near locations with prior software establishment presence. The entry effect diminishes sharply beyond one mile. These findings are mostly consistent with labor channel effects, including the possibility of spin-offs locating near existing firms, but disembodied human capital spillovers might also be present to some extent. |
| Keywords: | Agglomeration economies, labor pools, knowledge spillovers, firm growth |
| JEL: | R12 |
| Date: | 2014–09–22 |
| URL: | http://d.repec.org/n?u=RePEc:pra:mprapa:58751&r=cse |
| By: | Didenko, Alexander; Egorova, Tatiana |
| Abstract: | We study how innovations affect increase of regional total factor productivity (TFP) as a result of productivity spillovers from foreign direct investment (FDI), and confirm the presence of phenomenon in Russian data. TFP is modeled using data envelopment analysis (DEA) with the human capital, energy and capital as inputs, and the gross regional product as output. We develop innovations index for the regions of the RF, proxying for regional absorptive capacity, based on 17 variables, characterizing economic, social and infrastructural aspects of regional development. FDI variable accounts for spatial distribution of FDI flows. We confirm the presence of FDI spillovers in Russia and moderating role of innovations. |
| Keywords: | FDI, productivity spillovers, innovations, absorptive capacity, data envelopment analysis |
| JEL: | F21 O11 O30 R11 R12 |
| Date: | 2014–09 |
| URL: | http://d.repec.org/n?u=RePEc:pra:mprapa:59346&r=cse |
| By: | Pajarinen, Mika; Rouvinen, Petri |
| Abstract: | We summarize and compare previous studies considering the impact of R&D subsidies on firm-level labor productivity. These studies conclude quite consistently that the subsidies provided by Tekes do not have statistically significant impact on its client firms’ labor productivity. These studies go astray from the outset, however, as they neither measure what Tekes is set out to do nor correspond to its stated missions. Furthermore, serious methodological issues remain unaddressed both by these studies and by the literature at large. Our findings call for extensive effort in developing a more appropriate tool box for evaluating the impacts of innovation policy. |
| Keywords: | Tekes, t&k-tuet, tuottavuus, vaikuttavuus |
| JEL: | L52 L53 O25 |
| Date: | 2014–10–23 |
| URL: | http://d.repec.org/n?u=RePEc:rif:report:35&r=cse |
| By: | Jan De Loecker (Princeton University, NBER and CEPR); Catherine Fuss (National Bank of Belgium and Université Libre de Bruxelles); Johannes Van Biesebroeck (University of Leuven and CEPR) |
| Abstract: | We evaluate the impact of international competition on firm-level perfor- mance in Belgium. In the manufacturing sector we consider both the impact of global competition through measures of import penetration and the impact of within-EU competitiveness using measures of relative labor cost. In selected manufacturing sectors we identify the strength of international competition through a firm's proximity to the border. In both instances, we consider the impact on a variety of performance dimensions to learn about the mechanisms and about firms' adjustment to these competitive pressures |
| Keywords: | Efficiency; Markup; Competition, Import penetration |
| Date: | 2014–10 |
| URL: | http://d.repec.org/n?u=RePEc:nbb:reswpp:201410-269&r=cse |
| By: | Francesco Bogliacino (Fundación Universitaria Konrad Lorenz, Bogotá - Universidad Nacional de Colombia, Bogotá); Mariacristina Piva (DISCE, Università Cattolica; DISCE, Università Cattolica) |
| Abstract: | After discussing theory regarding the consequences of technological change on employment, our aim is to test the possible job creation effect of business R&D expenditures, using a unique longitudinal database covering 677 European firms (1990-2008). The main outcome from the dynamic LSDVC (Least Squared Dummy Variable Corrected) estimate is the labour-friendly nature of companies’ R&D, the coefficient of which turns out to be statistically significant. However, the positive impact of R&D on employment is only detectable in services and high-tech manufacturing. This is something that should be borne in mind by European policy makers having employment as one of their aims. |
| Keywords: | Innovation, Employment, Manufacturing, Services, LSDVC |
| JEL: | O33 |
| Date: | 2014–09 |
| URL: | http://d.repec.org/n?u=RePEc:ctc:serie5:ispe0069&r=cse |
| By: | Penelope Pacheco-Lopez |
| Abstract: | This paper uses the data set from the fourth survey by UNIDO of manufacturing firms in Sub-Saharan Africa to identify whether foreign direct investment affects the behaviour of local firms with respect to investment, product innovation and process innovation. We look at the perception and response of 1,140 manufacturing firms in 9 sectors in 19 countries. Using Probit models the results suggest that, once controlling for firm's characteristics, there is a marked difference between perception and reality. The presence of foreign investment has not affected the behaviour of the vast majority of domestic firms in terms of their investment, production of similar products to foreign firms, production of different products to avoid competition or adopt similar production technologies. |
| Keywords: | FDI; investment; technology; Sub-Saharan African countries |
| JEL: | O14 O55 |
| Date: | 2014–10 |
| URL: | http://d.repec.org/n?u=RePEc:ukc:ukcedp:1410&r=cse |
| By: | Tomoya Mori (Institute of Economic Research, Kyoto University); Tony E. Smith (Department of Electrical and Systems Engineering, University of Pennsylvania) |
| Abstract: | The standard approaches to studying industrial agglomeration have been in terms of summary measures of the “degree of agglomeration” within each industry. But such measures often fail to distinguish between industries that exhibit substantially different spatial scales of agglomeration. In a previous paper, Mori and Smith [45] proposed a new pair of quantitative measures for distinguishing both the scale and degree of industrial agglomeration based on an explicit method for detecting spatial clusters. The first, designated as the global extent (GE) of industrial clusters, measures the spatial spread of these clusters (within a given country) in terms of the areal size of their essential containment, defined to be the (convex-solid) region containing the most significant subset of these clusters. The second, designated as the local density (LD) of industrial clusters, measures the spatial extent of individual clusters within their essential containment in terms of the areal share of that containment occupied by clusters. The central purpose of the present paper is to apply these two measures to the manufacturing industries in Japan, and to demonstrate how they can be used in combination to distinguish both the relative scale and degree of agglomeration exhibited by cluster patterns for each industry. In addition, the information provided by this pair of measures (GE, LD) is systematically compared to that of the most prominent summary measures currently in use. Finally, it is shown that these measures also support certain predictions of new economic geography models in the sense that shipping distances for establishments in each industry tend to be negatively (positively) correlated with the GE (LD) measures of agglomeration in these industries. |
| Keywords: | Industrial Agglomeration, Cluster analysis, Spatial patterns of agglomeration, Shipment distances, New economic geography |
| JEL: | C49 L60 R12 R14 |
| Date: | 2014–10 |
| URL: | http://d.repec.org/n?u=RePEc:kyo:wpaper:904&r=cse |
| By: | Andersson, Martin (CIRCLE, Lund University and Department of Industrial Economics, Blekinge Institute of Technology); Xiao, Jing (CIRCLE and Department of Economic History, Lund University) |
| Abstract: | We analyze the frequency and nature by which new firms are acquired by established businesses. Acquisitions are often considered to reflect a technology transfer process and to also constitute one way in which a “symbiosis” between new technology-based firms (NTBFs) and established businesses is realized. Using a micro-level dataset for Sweden in which we follow new entrants up to 18 years after entry, we show that acquisitions of recent start-ups are rare and restricted to a small group of entrants with defining characteristics. Estimates from competing risks models show that acquired start-ups, in particular by multinational enterprises (MNEs), stand out from entrants that either remain independent or exit by being much more likely to be spin-offs operating in high-tech sectors, having strong technological competence, and having weak internal financial resources. Our overall findings support the argument that acquisitions primarily concern NTBFs in market contexts where entry costs are large, access to finance is important and incumbents have high market power. |
| Keywords: | acquisitions; post-entry performance; market selection; start-ups; new technology-based firms (NTBFs); innovation; competing-risk model; Sweden |
| JEL: | G34 L22 L26 O32 O33 |
| Date: | 2014–10–03 |
| URL: | http://d.repec.org/n?u=RePEc:hhs:lucirc:2014_019&r=cse |
| By: | Oscar Mauricio Valencia |
| Abstract: | This paper examines an endogenous growth model with occupational choice in which innovators produce ideas. Each innovator has private knowledge of their production costs. Developers offer innovators non-linear contract schemes that affect the number of active innovators and the economic growth rate. Two main results are obtained. First, the equilibrium contract under asymmetric information leads to the selection of highly-talented workers in R&D activities and higher profits for developers. Second, the efficiency-rent extraction tradeoff lowers the economic growth rate with respect to the full information case. |
| Keywords: | Adverse Selection, Innovation, Endogenous Growth. |
| JEL: | D82 |
| Date: | 2014–09–15 |
| URL: | http://d.repec.org/n?u=RePEc:col:000094:012169&r=cse |
| By: | Emmanuel Dhyne (NBB, UMons); Amil Petrin (U. Minnesota); Valerie Smeets (Aarhus U.); Frederic Warzynski (Aarhus U.) |
| Abstract: | Using detailed firm-product level quarterly data, we develop an estimation framework of a Multi-Product Production Function (MPPF) and analyse firm-product level TFP estimations at various levels (industries, products). After documenting our estimation results, we relate productivity estimates with import competition, using firm and product level measures of import competition. We find that if productivity at the firm level tends to positively react to increased import competition, the multi-product firms response varies according to the relative importance of the product that faces stronger import competition in the firm’s product portfolio. When import competition associated to the main product of a firm increases, the firm tend to increase its efficiency in producing that core product, in which it has a productivity advantage. However, when the degree of foreign competition increases for non core products of a firm, it tends to lower its efficiency in producing those goods. |
| Keywords: | multi-product production function, productivity, import competition |
| JEL: | D24 L22 L25 |
| Date: | 2014–10 |
| URL: | http://d.repec.org/n?u=RePEc:nbb:reswpp:201410-268&r=cse |
| By: | Kang, Youngho; Chang, Jieun |
| Abstract: | To empirically examine the unbiased effect of management practice on firm productivity, this paper aims to suggest an instrumental variable approach, which requires less costly method. This study uses three firm-level instrumental variables such as the motivations for organizational reform, empowerment, and IT investment during the organizational reform. For empirical study, we use Korean manufacturing firm-level data that contains information on management score and financial statement. The results of the instrumental variable estimation show that better management practice leads to higher level of firm productivity statistically significantly, while the effect of management practices is statistically insignificant in the ordinary least square estimation. |
| Keywords: | Management practices, Productivity, Organizational reform, Instrumental variable |
| JEL: | C26 L2 M2 |
| Date: | 2014–09–04 |
| URL: | http://d.repec.org/n?u=RePEc:pra:mprapa:58834&r=cse |
| By: | Driouchi, Ahmed; Gamar, Alae |
| Abstract: | Abstract: This paper looks at the links between cultural variables, knowledge indices and entrepreneurship in Arab countries. It uses the Hofstede’s cultural dimensions and World Bank data to show how these variables are connected. The outputs from Arab countries are also compared to those from the Eastern European economies. The outcomes do clearly indicate the existence of links between cultural dimensions, access to knowledge and enterprise creation with of a gap between Arab and Eastern European Economies. The results show also that entrepreneurship is linked to cultural variables in Arab countries. This implies that further economic and social policies are needed to ensure the promotion of the culture of the knowledge economy and entrepreneurship in Arab countries. |
| Keywords: | Keywords: Hofstede dimensions, Knowledge economy, Entrepreneurship, Arab countries, Eastern Europe |
| JEL: | L2 O1 |
| Date: | 2014–09–20 |
| URL: | http://d.repec.org/n?u=RePEc:pra:mprapa:58731&r=cse |
| By: | Gloria Cuevas-Rodriguez (Department of Business Administration, Universidad Pablo de Olavide); Jaime Guerrero-Villegas (Department of Business Administration, Universidad Pablo de Olavide); Ramón Valle-Cabrera (Department of Business Administration, Universidad Pablo de Olavide) |
| Abstract: | Whereas research in privatization generally adopts a macroeconomic or political perspective, organizational and managerial implications are current aspects in need of further examination. This study analyzes how firms’ corporate governance and strategy relate to the use of management compensation systems after privatization. A multiple-case study in five Spanish companies leads to a series of contributions: first, variables that traditionally relate to greater board independence in monitoring do not suffer from variation after privatization. Second, the interests of the new firms’ ownership have an impact on firm strategy after privatization. Finally, compensation system design clearly aligns with firm strategy after privatization. |
| Keywords: | Corporate governance, privatization, board of directors, compensation, strategy |
| Date: | 2014–11 |
| URL: | http://d.repec.org/n?u=RePEc:pab:wpboam:14.03&r=cse |
| By: | Ahsan, Lubna; Qazi, Burhan; Syed, Shahabuddin |
| Abstract: | The concept of strategic management is extremely broad and there are numerous concepts that specifically stride under this particular aspect. The effectiveness of this particular field lies with the concept that how effectively it is utilized and implements the methods and models of strategic management, therefore organizations should be ready to confirm their growth and compete with other organizations operating in the same line of business. Hilton Worldwide is the company which has been selected for this analysis. Different strategic management methods or tools like SWOT analysis, Porter’s Five Forces, Balance Score Card and others would be used here to analyze the level of competition of the chosen company. |
| Keywords: | Products, Services, Company, Market, hospitality |
| JEL: | F2 F23 |
| Date: | 2014–09–05 |
| URL: | http://d.repec.org/n?u=RePEc:pra:mprapa:58366&r=cse |
| By: | Drago, Carlo; Millo, Francesco; Ricciuti, Roberto; Santella, Paolo |
| Abstract: | We analyze the effects of corporate governance reforms on interlocking directorship (ID), and we assess the relationship between interlocking directorships and company performance for the main Italian firms listed on the Italian stock exchange over 1998-2007. We use a unique dataset that includes corporate governance variables related to the board size, interlocking directorships and variables related to companies’ performances. The network analysis showed only some effectiveness of these reforms in slightly dispersing the web of companies. Using a diff-in-diff approach, we then find in the period considered a slight reduction in the returns of those companies where interlocking directorships were used the most, which confirms our assumption on the perverse effect of ID on company performance in a context prone to shareholder expropriation such as the Italian one |
| Keywords: | Corporate Governance, Interlocking Directorships, Social Network Analysis, Empirical Corporate Finance |
| JEL: | C33 G34 G38 L14 |
| Date: | 2014–10–10 |
| URL: | http://d.repec.org/n?u=RePEc:pra:mprapa:59217&r=cse |
| By: | Eva Hagsten (Statistics Sweden); Anna Sabadash (European Commission – Eurostat) |
| Abstract: | While unemployment in the EU is above 10%, the job vacancy rate also remains high around 1.5%. This suggests considerable unmet demand for skills, which is in the focus of the EU employment promotion policies. This paper studies the special role that schooled ICT experts in firms - an intangible input often neglected and difficult to measure – play for productivity. The effects are investigated both in isolation and in conjunction with the impact of ICT maturity on microdata in six European countries (UK, France, Sweden, Norway, Denmark and Finland) for the period 2001-2009. We find that increases in the proportion of ICT-intensive human capital boosts productivity. This seems to confirm the case in favour of recruitment of highly skilled ICT employees. However, the gains vary across countries and industries, suggesting that the channels through which the effects operate are narrower for ICT-intensive human capital than for skilled human capital in general. Our findings provide an important message to the EU employment policy debate that currently revolves around the skill mismatch in general and the unmet demand for ICT skills in particular. |
| Keywords: | Employment, productivity, ICT skills |
| JEL: | J24 |
| Date: | 2014–10 |
| URL: | http://d.repec.org/n?u=RePEc:ipt:decwpa:2014-02&r=cse |
| By: | Ali-Yrkkö, Jyrki; Pajarinen, Mika; Rouvinen, Petri |
| Abstract: | There are almost 200,000 enterprises operating in the Finnish service sector, combined. However, not all of the service industries are the same. Some services have become independent of geographical locations, meaning that they can be exported, much like physical products. Other services still require that they are produced and consumed in the same place. Significant differences also exist between the scalability of different services. Since 2007, employment growth has been the fastest in the location-dependent services. The real growth of value added and the increase of productivity, however, have been concentrated in the service industries which do not depend on geography, and where the economies of scale apply the most. |
| Keywords: | Service, growth, policy, offshorability, tradability, scalability |
| JEL: | L52 L80 L88 O30 F23 |
| Date: | 2014–10–31 |
| URL: | http://d.repec.org/n?u=RePEc:rif:report:36&r=cse |
| By: | Huric Larsen, Jesper Fredborg |
| Abstract: | The effect of consumer protection on firms’ strategy choices in a market with perfect competition is examined in a simple model. It is found that consumer protection may lead to reduced product quality and adverse effects on firm survival. |
| Keywords: | Strategy, consumer protection, firm incentives |
| JEL: | B21 L6 L8 |
| Date: | 2014–02 |
| URL: | http://d.repec.org/n?u=RePEc:pra:mprapa:58585&r=cse |
| By: | Eva U. B. Kibele (Max Planck Institute for Demographic Research, Rostock, Germany); Sebastian Klüsener (Max Planck Institute for Demographic Research, Rostock, Germany); Rembrandt D. Scholz (Max Planck Institute for Demographic Research, Rostock, Germany) |
| Abstract: | While regional mortality inequalities in Germany tend to be relatively stable in the short run, over the course of the past century marked changes have occurred in the country’s regional mortality patterns. These changes include not only the re-emergence of stark differences between eastern and western Germany after 1970, which have almost disappeared again in the decades after Germany’s unification in 1990; but also substantial changes in the patterns in northern and southern Germany. By the end of the 19th century, the northern regions in Germany had the highest life expectancy levels, while the southern regions had the lowest. Today, this mortality pattern is reversed. In this paper, we study these long-term trends in spatial mortality disparities in Germany since 1900, and link them with theoretical considerations and existing research on the possible determinants of these pattern. Our findings support the view that the factors which contributed to shape spatial mortality variation have changed substantially over time, and suggest that the link between regional socioeconomic conditions and mortality outcomes strengthened over the last 100 years. |
| Keywords: | Germany, mortality, socio-economic conditions, spatial analysis |
| JEL: | J1 Z0 |
| Date: | 2014–10 |
| URL: | http://d.repec.org/n?u=RePEc:dem:wpaper:wp-2014-009&r=cse |
| By: | Daniel Goya |
| Abstract: | There is evidence that suggests that one of the channels through which the exchange rate could have an impact on growth is export product diversification. I distinguish between the variety and concentration dimensions of export diversification and review the theoretical and empirical literature relating these two dimensions to the level and the volatility of the exchange rate. Using disaggregated trade data for a long panel of countries, I investigate these relationships employing an econometric methodology that allows for heterogeneity of coefficients across countries, and discuss two sources of bias which are often overlooked. I find that the variety dimension of export diversification is positively related to a weaker exchange rate and negatively related to exchange rate volatility. These relationships seem to be stronger for goods with higher technological intensity. I do not find a clear relationship between the exchange rate and the concentration of exports. |
| Keywords: | export diversification, variety, concentration, exchange rate, exchange rate volatility, pooled mean group. |
| JEL: | F14 F40 O30 |
| Date: | 2014–10–03 |
| URL: | http://d.repec.org/n?u=RePEc:cam:camdae:1436&r=cse |
| By: | Akira Horikami (Student of Graduate School of Business Administration, Kobe University); Kiyoshi Takahashi (Graduate School of Business Administration, Kobe University) |
| Abstract: | The purpose of this paper is to propose a new measurement method of creativity. Based on the tripartite thinking model (TTM), this paper developed the tripartite creativity test (TCT). The TCT was generated by considering creative process in problem solving. The TCT defines creativity as the interaction of three modes of thinking: logical thinking, critical thinking, and lateral thinking. This model is apart from traditional definition of creativity that prescribes it as the skill for producing new and useful things. The TCT consists of three subtests in accordance with the tripartite model: logical thinking test, critical thinking test, and lateral thinking test. The psychometric characteristics were examined for this new measure. The reliability was examined by inter-rater agreements. The construct validity was examined by confirmatory factor analysis (CFA) and the criterion-related validity was examined by covariance structure analysis. The result showed that the TCT had sufficiently high reliability and fit the data reasonably well. |
| Date: | 2014–10 |
| URL: | http://d.repec.org/n?u=RePEc:kbb:dpaper:2014-27&r=cse |
| By: | Asandului, Laura; Roman, Monica; Fatulescu, Puiu |
| Abstract: | This paper aims at evaluating the efficiency of public healthcare systems in Europe by applying a nonparametric method such is Data Envelopment Analysis. For this purpose, statistical data for 30 European states for 2010 have been used. We have selected three output variables: life expectancy at birth, health adjusted life expectancy and infant mortality rate and three input variables: number of doctors, number of hospital beds and public health expenditures as percentage of GDP. Findings reveal that there are a number of both developed and developing countries on the efficiency frontier, while the great majority of the countries in the sample are inefficient. |
| Keywords: | healthcare system, efficiency, data envelopment analysis, Europe |
| JEL: | I15 R11 |
| Date: | 2013–10 |
| URL: | http://d.repec.org/n?u=RePEc:pra:mprapa:58954&r=cse |
| By: | Ozsoz, Emre |
| Abstract: | One of the most cited criticism for US fashion brands is their exploitation of workers in their overseas manufacturing facilities. This paper studies whether such textile and apparel production facilities (also known as “sweatshopsâ€) lead to lower education and thus a lower socio-economic status for women working in them. Results suggest it is not as a clear-cut conclusion. Evidence suggests a higher ratio of women receive primary education as apparel and textile exports increase while at the secondary level of education however, the results suggest the opposite. We also evaluate to see if women marry at a later age as a result of working in these factories, yet fail to find any conclusive evidence. |
| Keywords: | sweatshops, economic development, |
| JEL: | O1 O15 |
| Date: | 2014–08–06 |
| URL: | http://d.repec.org/n?u=RePEc:pra:mprapa:58125&r=cse |