nep-cse New Economics Papers
on Economics of Strategic Management
Issue of 2018‒04‒09
ten papers chosen by
João José de Matos Ferreira
Universidade da Beira Interior

  1. Creativity and entrepreneurship: Empirical evidence for Catalonia By Coll Martínez, Eva
  2. Innovation and Trade Policy in a Globalizing World By Ufuk Akcigit
  3. Innovative products and services with environmental benefits: design of search strategies for external knowledge and absorptive capacity By Caroline Mothe; Uyen Nguyen-Thi; Angela Triguero-Cano
  4. EntreComp into action - Get inspired, make it happen: A user guide to the European Entrepreneurship Competence Framework By Elin McCallum; Rebecca Weicht; Lisa McMullan; Alison Price
  5. Innovation strategies of firms: Identification, dynamics and intra-industry heterogeneity By Hollenstein, Heinz
  6. Ecosystem of entrepreneurship: risks related to loss of trust in stability of economic environment in Kazakhstan By Elena Petrenko; Nurlan Iskakov; Oleg Metsyk; Tatyana Khassanova
  7. Firm Survival and Innovation: Knowledge Context Matters! By Fernanda Mazzotta; Ornella Wanda Maietta
  8. Gender diversity, R&D teams and patents: An application to Spanish firms By Teruel, Mercedes; Segarra Blasco, Agustí, 1958-
  9. The Respective Effects of Virtues and Inter-Organizational Management Control Systems on Relationship Quality and Performance: Virtues Win By Gisele De Campos Ribeiro; Carole Donada; Caroline Mothe; Gwenaëlle Nogatchewsky
  10. Effects of automatisation and digitalisation on manufacturing companies' production efficiency and innovation performance By Kroll, Henning; Horvat, Djerdj; Jäger, Angela

  1. By: Coll Martínez, Eva
    Abstract: In recent years creativity has gained importance because of its potential to generate economic growth based on their role in the innovation processes and economic development. In this regard, this work is twofold. First, it addresses the mechanisms through which creativity promotes knowledge externalities and innovation contributing to regional economic growth and competitiveness. And second, it aims to analyse the role of creativity, diversity and innovation on entrepreneurship at a municipality level for Catalonia. To conduct this analysis, information provided by the Register of Industrial Establishments of Catalonia (REIC) – a register that includes the creation of new establishments located in Catalonia between 2002 and 2007 – , and by the Statistical Institute of Catalonia (IDESCAT) are used. Main results highlight the role of creativity in the spreading of ideas and the creation of new projects encouraging entrepreneurship at local level. However, the role of cultural diversity does not seem to be so relevant in deciding the location of new firms in Catalan municipalities. Finally, intellectual and technological productivity in the municipality (in terms of patents) favours the creation of new firms but only in municipalities closer to technologic and scientific centres. Keywords: creativity, diversity, innovation, entrepreneurship, industrial location JEL codes: O31, M14, O32, L26, O14
    Keywords: Innovacions tecnològiques -- Catalunya, Emprenedoria -- Catalunya, Localització industrial -- Catalunya, Creativitat en els negocis -- Catalunya, 332 - Economia regional i territorial. Economia del sòl i de la vivenda,
    Date: 2018
  2. By: Ufuk Akcigit (University of Chicago)
    Abstract: We assess the role of import tariffs and R&D subsidies as policy responses to foreign technological competition. To this end, we build a general equilibrium growth model embedding a Ricardian framework of trade where firm innovation shapes endogenously the dynamics of technology and market leadership in a world with countries at differ- ent stages of development. Knowledge spillovers and decreasing returns to knowledge accumulation drive cross-country technological convergence. Firms’ R&D decisions are driven by the size of the market, the effort to escape competitive pressures, domestic and international business stealing, and technology spillovers. A calibrated version of the model reproduces the foreign technological catch-up the U.S. experienced by the 1970s and early 1980s. Accounting for transitional dynamics, we show that foreign technolog- ical acceleration hurts the U.S. welfare in the short and medium run through business stealing, but generates long-run benefits via higher quality of imported goods and higher domestic innovation in the U.S. induced by escape-competition effect. The model suggests that the introduction of Research and Experimentation Tax Credit in 1981 proves to be an effective policy response to foreign competition, generating substantial welfare gains. A counterfactual exercise shows that increasing trade barriers as an alternative policy re- sponse produces gains only in the very short run, leading to large losses in the medium and long run. Protectionist measures generate large dynamic losses from trade, distort- ing the impact of openness on innovation incentives and productivity growth.
    Date: 2017
  3. By: Caroline Mothe (IREGE - Institut de Recherche en Gestion et en Economie - USMB [Université de Savoie] [Université de Chambéry] - Université Savoie Mont Blanc); Uyen Nguyen-Thi (LISER - Luxembourg Institute of Socio-Economic Research); Angela Triguero-Cano (Department of International Economics - University of Castilla-La Mancha)
    Abstract: Although the antecedents of environmental innovation and open innovation strategies have been well studied separately, the relationship between a firm's openness and environmental technological innovation still remains an interesting topic to research, especially in terms of the various modes of openness on the one hand and the product–process distinction on the other. This study relies on data from the French Community Innovation Survey to differentiate the association of three dimensions of open inbound innovation search strategies—acquiring, sharing, and information sourcing—with environmental product (ecoproduct) and process (ecoprocess) innovations. Inbound innovation, attained through the acquisition of machinery, equipment, and software, is more likely to be associated with ecoprocess than ecoproduct innovations; external R&D only drives ecoproducts. Inbound sharing through R&D cooperation seems associated with the introduction of both ecoproducts and ecoprocesses. For inbound innovation sourcing, external market sources of information are positively associated with firms' involvement in all types of environmental innovation.
    Keywords: R&D cooperation,Sourcing,R&D acquisition,Environmental innovation,Inbound innovation
    Date: 2018
  4. By: Elin McCallum (Bantani Education); Rebecca Weicht (Bantani Education); Lisa McMullan (The Women's Organisation); Alison Price (Enterprise Evolution)
    Abstract: This guide is a tool for those individuals and organisations who wish to explore why, when and how they can use EntreComp, the European Entrepreneurship Competence Framework. The entrepreneurship competence is increasingly recognised as a competence for life, relevant to personal development and fulfilment, finding and progressing in employment, as well as initiating new ventures ranging from community campaigns, social enterprises to new start-up businesses. Why a competence for life? Being creative or thinking about how to do things in new ways is equally relevant to progressing your career as well as coming up with new business ideas. Taking the initiative and mobilizing others to get involved are useful skills when fundraising for your local sports team, or establishing a new social enterprise. Understanding how to put a plan into action and use finances wisely are relevant for your own life and for business planning in an SME. EntreComp is new, so those using it are just starting out in their use of the framework and exploring how it can be implemented in practice. The examples gathered here are intended to illustrate the breadth and depth of potential for using EntreComp, but this will of course evolve through time and experience. This guide is intended to inspire more actors across Europe and beyond to get involved, to join a community of participants committed to embedding these competences for life into education, communities, work and enterprise.
    Keywords: EntreComp, Entrepreneurship, Entrepreneurship Education, Entrepreneurial Learning, Key Competences for Lifelong Learning, Human Capital
    Date: 2018–03
  5. By: Hollenstein, Heinz
    Abstract: The study aims at providing new evidence with respect to the still unresolved question, whether the innovation behaviour of firms reflects industry-specific characteristics ("technological regime approach"), or whether it is the outcome of firm-specific strategies to gaining a competitive edge ("strategic management view"). To this end, the author firstly identifies a set of innovation strategies (cluster analysis), whose adequacy he evaluates using the "economics of innovation" as reference. Secondly, the author investigates the dynamics of innovation strategies to get some insights into structural changes of the economy. Thirdly, he examines, based on a large number of 4-digit branches, the intra-industry heterogeneity of innovation strategies. Finally, the author analyses in a production function framework the relative importance of a company's innovation strategy and its industry affiliation as determinants of firm performance. The third part of the paper tends to support the "strategic management view" (high intraindustry heterogeneity), while the final one is rather in line with the "technological regime approach" (industry affiliation is the more important factor determining firm performance). These opposite findings indicate that a company has a certain room of manoeuvre to choose an innovation strategy in line with its specific capabilities, but some structural characteristics at industry level restrict the strategic options.
    Keywords: innovation,firm-level taxonomy of innovation strategies,dynamics of innovation strategies,intra-industry heterogeneity of innovation behaviour,impact of firm strategies and industry affiliation on performance
    JEL: O30 O31 O32 O33
    Date: 2018
  6. By: Elena Petrenko (SUSU - South Ural State University); Nurlan Iskakov (Almaty Management University); Oleg Metsyk (Institute of Economics, The Ural Branch of Russian Academy of Sciences); Tatyana Khassanova (SUSU - South Ural State University)
    Abstract: Favorable ecosystem of entrepreneurship plays crucial role for successful development of small and medium enterprises (SMEs) and their sustainability. One of preconditioms of encouraging business environment is its' stability, and trust in long-term stability. Meanwhile the global economic crisis has created a state of economic and political instability, what consequently affected trust of business entities, and therefore contributed to increase of social and economic risks. The article discusses the decline of trust in the entrepreneurship of Kazakhstan, examines the causes and consequences of loss of confidence as an important institutional resource.
    Keywords: state,corruption,SMEs,entrepreneurship ecosystem,trust,business risks,economics,Kazakhstan
    Date: 2017–09–29
  7. By: Fernanda Mazzotta (Università di Salerno); Ornella Wanda Maietta (Università di Napoli Federico II and CSEF)
    Abstract: The aim of this paper is to explore the differential effect of innovation on firm survival. We consider the effect of product, process and organisational innovations controlling for the role of the knowledge context and of firm absorptive capacity. At the end of the 1990s, an ad hoc survey was performed on a representative sample of manufacturing firms located in a NUTS3 area of southern Italy, and information on firm survival has been collected for 15 years. A multivariate endogenous probit model is applied to simultaneously analyse the determinants of innovation and of subsequent firm survival. Our estimates confirm that process innovation is a determinant of firm survival followed by product innovation, whereas evidence of a more novel type suggests that organisational innovation plays only a weak role. Entrepreneurial general and specific human capital exerts no direct beneficial effect on firm duration. The requirement of proper technological knowledge from the local university has been the driver of firm duration with the highest marginal effect.
    Keywords: Firm survival, Information network, Human capital, Italian SMEs
    JEL: L20 O3 D22 I2
    Date: 2017–04–02
  8. By: Teruel, Mercedes; Segarra Blasco, Agustí, 1958-
    Abstract: Previous results show that gender diversity increases the probability that firms invest in R&D and engage in innovation. This paper explores the relationship between gender diversity of R&D departments and their capacity to patent. Based on the Spanish Community Innovation Survey between 2004 and 2014, we apply a two-step procedure in order to control for endogeneity. Although gender diversity affects OEPM patents negatively, its impact is non-significant for patents with international coverage (EPO, USPTO, or PCT). A relevant result is the fact that the generation of patents is positively affected by the diversity of categories in the R&D labs. Our results highlight that, gender diversity of R&D teams does not play a relevant impact on the capacity of the firm to register patents. However, the diversity according to the professional role in R&D teams exerts a positive influence. In sum, the key question is not the gender diversity per se but the gender diversity jointly with the professional status. JEL Code: O30, O31, J16. Keywords: gender diversity, patent generation
    Keywords: Innovacions tecnològiques -- Direcció i administració, Patents d'invenció, Programes d'acció positiva -- Espanya, 33 - Economia,
    Date: 2018
  9. By: Gisele De Campos Ribeiro (ESSEC Business School - Essec Business School); Carole Donada (Management Department - Essec Business School); Caroline Mothe (IREGE - Institut de Recherche en Gestion et en Economie - USMB [Université de Savoie] [Université de Chambéry] - Université Savoie Mont Blanc); Gwenaëlle Nogatchewsky (DRM - Dauphine Recherches en Management - Université Paris-Dauphine - CNRS - Centre National de la Recherche Scientifique)
    Abstract: In this study, we evaluate how individual virtues and inter-organizational management control systems (IOMCS) influence buyer–supplier performance through relationship quality. Results from a sample of 232 firms confirm that virtues and IOMCS relate positively to relationship quality and performance, respectively. However, IOMCS lose their positive influence on relationship quality when considered along with virtues. That is, when both variables enter the regression model simultaneously, virtues win. This interesting finding has particular resonance at a time when research on ethics still needs to reinforce its positive effects on the practice of management.
    Keywords: Performance,Virtue,Quality,Buyer–supplier relationships,Inter-organizational management control systems
    Date: 2018
  10. By: Kroll, Henning; Horvat, Djerdj; Jäger, Angela
    Abstract: [Introduction] In recent years, the debate on the digitalisation of industry has gained momentum not only in the political, but also in the academic sphere. As part of a broader debate on the digitisation of life, it has touched upon many relevant dynamics of industrial transformation that will, without doubt, substantially affect the way in which production as such takes place as well as the role it plays in and for diverse value chains and innovation networks. However, as much as the digitalisation debate addresses pertinent questions for future industrial innovation and production, much of it continues to suffer from a lack of clarity regarding both the very substance of the discussion and the factual consequences that it already develops in the industrial sphere. The first and arguably most pressing issue is that while the term "digitisation" succinctly captures a generic societal trend, it conveys comparatively little about the actual (catalogue of) technologies that we mean by it. A debate that moves from a general observation of "digitisation" to a more focused analysis of "industrial digitalisation" can only then yield relevant results if it is specific about the concrete technologies involved and the concrete effects in industrial innovation and production that can be expected. In the majority of cases, specific papers like this one, will only be able to address spread and effect of a certain number of digital technologies. So far, many parts of the discussion fail to deliver on these needs for differentiation not only with regard to the concrete technologies additionally deployed but also with regard to the changes in firm performance that they are supposed to trigger. While mutually related, industrial innovation and industrial production remain distinct areas on and in which the impact of "industrial digitalisation" needs to be studied separately as the set of concrete digital technologies which matter for them differs substantially. Consequently, this paper suggests that it appears reasonable to distinguish between the diverse cause-effect relationships that occur in the course of the spread of digitalisation. These need to be clearly formulated with respect to their technological foundation as well as the area of industrial activity in which change is triggered. Hence, it proposes that a structured understanding of the broad dynamic of digitalisation that we are witnessing needs to be gradually built by hypothesising, confirming and disconfirming specific relationships. Furthermore, it appears likely that "digitalisation" of industry will take effect gradually, in a step-by-step manner, as did all past breakthrough innovations from the introduction of the steam engine and, later, electricity into the production system to the various changes in the prevalent means of transportation that the past two centuries have witnessed. Typically, the invention of breakthrough technologies first spurred a development of more, related technologies before those technologies became fully implemented as prevalent means in the production system.
    Date: 2018

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