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on Economics of Strategic Management |
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Issue of 2020‒06‒22
eleven papers chosen by João José de Matos Ferreira Universidade da Beira Interior |
| By: | Atta-Owusu, Kwadwo; Fitjar, Rune Dahl; Rodríguez-Pose, Andrés |
| Abstract: | Research and innovation policy aims to boost research output and university-industry collaboration (UIC) at least in part to allow firms access to leading scientific knowledge. As part of their mission, universities are expected to contribute to innovation in their regions. However, the relationship between research output and UIC is unclear: research-intensive universities can produce frontier research, which is attractive to firms, but may also suffer from a gap between the research produced and the needs of local firms, as well as mission overload. This may hinder local firms' ability to cooperate with universities altogether or force them to look beyond the region for other suitable universities to interact with. This paper investigates the relationship between the research output of local universities and firms' participation in UICs across different geographical scales. It uses Community Innovation Survey (CIS) data for Norwegian firms and Scopus data on Norwegian universities' research output across various disciplines. The results demonstrate that local university research intensity and quality are negatively associated with firm participation in UICs at the local level. Firm characteristics, in particular the firm's general strategy towards cooperation and its geography, turn out to be much more important than university characteristics in explaining UICs. Notably, firms' cooperation with other external partners at the same scale is a strong predictor of UICs. |
| Keywords: | firms; Norway; Research; Universities; university-industry collaboration |
| JEL: | O31 O32 O33 |
| Date: | 2020–04 |
| URL: | http://d.repec.org/n?u=RePEc:cpr:ceprdp:14565&r=all |
| By: | Maharaja Thandabhani (TIPS School of Management) |
| Abstract: | Small and Medium Enterprises (SMEs) play a significant role in all economies and are key agents of employment, innovation and growth. Strategic communication is something different from normal communication as it involves with certain intelligent way of communicating the clients and counter parts. The implications of future of small industries, globalization, performance, perspectives and challenges would insist on prompt and prudent way of communicating and are to be confronted by women entrepreneurs. To crack the challenges and overcome the negative impacts of communication successfully, strategic communication becomes a vital part of business and entrepreneurs should familiarize such type of business communication for better decision-making in all functional areas of business. If information asymmetry exists, clients may respond by negatively leading to miscommunication or misinterpretation which will have bad effects on organization and business negotiations. The concept and source of communication should be adapted to have more clarity and transparency to make the receiver understand the information and message so as to make him/her respond appropriately. The consequence of inappropriate communication, or weak communication would exhaust the time and energy of the receiver leading to refusal of the clients or business partners. The fact is that most of the entrepreneurs from small and medium industries in India have not developed adequate expertise in strategic communication which may create setbacks in their business performances. This article analyses the profiles of the SME women entrepreneurs and their perception and expectation on strategic communication and their strategic communication components which are analyzed to derive the results. |
| Keywords: | strategic communication,women entrepreneurs,communication components,small medium enterprises |
| Date: | 2020–03–30 |
| URL: | http://d.repec.org/n?u=RePEc:hal:journl:hal-02569369&r=all |
| By: | James H. Love; Stephen Roper; Priit Vahter |
| Abstract: | Abandoned and failed innovations can be regarded as a part of the natural process of experimentation by firms, which can lead to important lessons being learned. Although the literature suggests some benefit from failure or abandoned innovation activities, prior studies using relatively large firm-level datasets to test the nature of this link are often unable to deal explicitly with the time dimension of learning. We contribute to the literature by showing the dynamic and causal nature of the linkage between abandoned innovation and subsequent innovation outcomes at firms. We demonstrate based on balanced panel data of Spanish manufacturing firms from 2008-2016 that innovation failure not only leads to more successful innovation, but that there is an explicit time dimension to this. We demonstrate that firms which have experienced ‘failure’ (as evidenced by abandoned innovation activities) in the past will have stronger positive effects of recent abandoned innovation activities on innovation output. This is a strong test of the ‘learning-from-failure’ hypothesis. In addition, we find evidence that in addition to enabling cumulative learning processes, abandoning innovation may also act as a dynamic corrective mechanism preventing firms carrying weaker innovation portfolios through from one period to the next. |
| Keywords: | innovation failure, abandoning innovation activities, learning effects, innovation performance |
| Date: | 2020 |
| URL: | http://d.repec.org/n?u=RePEc:mtk:febawb:124&r=all |
| By: | Andreas Papandreou; Phoebe Koundouri; Lydia Papadaki |
| Abstract: | Sustainable shipping refers to the broad set of challenges, nature of governance rules and regulations, patterns of management and corporate behaviors and aims, engagement of stakeholders, and forms of industrial activity that should come to define a marine transport industry that is shaped by the broader societal goals of sustainable development. This chapter aims to provide a brief overview of the marine transport industry, its role and relevance in sustainable development and the kinds of changes that are needed for shipping to be sustainable. The focus is mostly on the environmental dimension of sustainable development. As a sector, and for reasons that have to do with the special nature of its international governance that partly falls outside the confines of national jurisdictions, shipping may have been a late comer to some of the most pressing sustainability challenges of our time. After presenting some recent economic trends of the sector and their potential implications for sustainability the chapter will present some environmental pressures that are related to shipping and will focus on two particular sustainability challenges confronted by maritime transport: the need to drastically reduce sulfur emissions and the even more demanding challenge to mitigate CO2 emissions. Before concluding, the penultimate section will briefly present some sustainability initiatives already under way. |
| Keywords: | Sustainable shipping, maritime transport, CO2 emissions mitigation, EU ETS |
| Date: | 2020–05–30 |
| URL: | http://d.repec.org/n?u=RePEc:aue:wpaper:2025&r=all |
| By: | Gamal Atallah (Department of Economics, University of Ottawa, Ottawa, ON); Claudia De Fuentes (Department of Management, Sobey School of Business, Saint Mary’s University); Christine A. Panasian (Department of Finance, Information Systems and Management Science, Sobey School of Business, Saint Mary’s University) |
| Abstract: | Using a large sample of North American firms, from 1999 to 2016, we investigate the effect of corporate governance structures, specifically ownership, board characteristics, and executive compensation contracts on innovation intensity and output. We consider both R&D expenditures and patents as innovation proxies and evaluate consequences of the economic downturns of 2000 and 2008. We find that R&D investment increases with ownership by institutional blockholders and with the number of institutional owners, confirming the key role institutions play in innovation activities of firms. We observe higher R&D levels for firms with more independent boards, more females board members and more outside directorships held by directors. We report that firms with CEO/chair of the board duality have lower R&D intensity, as do firms with higher ownership by directors and with a higher mean board age. Innovation is negatively related to CEO salary levels, but positively related to the ratio of incentives to total compensation, confirming that incentives contribute to aligning shareholders and management interests, which leads to better long-term decisions. However, those incentives reduce the number of patents. We do not find any systematic changes in R&D for the 2000 recession, however there is an increase for the 2008 financial crisis. |
| Keywords: | Corporate Governance, Corporate Finance and Governance, Innovation, R&D investment, Canada, United States. |
| Date: | 2020 |
| URL: | http://d.repec.org/n?u=RePEc:ott:wpaper:2001e&r=all |
| By: | Argente, David; Baslandze, Salomé; Hanley, Douglas; Moreira, Sara |
| Abstract: | We study the relationship between patents and actual product innovation in the market, and how this relationship varies with firms' market share. We use textual analysis to create a new data set that links patents to products of firms in the consumer goods sector. We find that patent filings are positively associated with subsequent product innovation by firms, but at least half of product innovation and growth comes from firms that never patent. We also find that market leaders use patents differently from followers. Market leaders have lower product innovation rates, though they rely on patents more. Patents of market leaders relate to higher future sales above and beyond their effect on product innovation, and these patents are associated with declining product introduction on the part of competitors, which is consistent with the notion that market leaders use their patents to limit competition. We then use a model to analyze the firms' patenting and product innovation decisions. We show that the private value of a patent is particularly high for large firms as patents protect large market shares of existing products. |
| Keywords: | creative destruction; growth; Innovation; patent value; patents; productivity |
| JEL: | O3 O4 |
| Date: | 2020–05 |
| URL: | http://d.repec.org/n?u=RePEc:cpr:ceprdp:14692&r=all |
| By: | Maria Cecilia Bustamante (University of Maryland - Department of Finance); Laurent Frésard (University of Lugano; Swiss Finance Institute) |
| Abstract: | We study whether, how, and why the investment of a firm depends on the investment of other firms in the same product market. Using an instrumental variable based on the presence of local knowledge externalities, we find a sizeable complementarity of investment among product market peers, holding across a large majority of sectors. Peer effects are stronger in concentrated markets, featuring more heterogeneous firms, and for smaller firms with less precise information. Our findings are consistent with a model in which managers are imperfectly informed about fundamentals and use peers' investments as a source of information. Product market peer effects in investment could amplify shocks in production networks. |
| Keywords: | investment, peer effect, competition, agglomeration economies |
| JEL: | G31 |
| Date: | 2020–05 |
| URL: | http://d.repec.org/n?u=RePEc:chf:rpseri:rp2043&r=all |
| By: | Ferrando, Annalisa; Rossi, Stefania P. S.; Bonanno, Graziella |
| Abstract: | This paper aims at investigating the relationship between firms’ profit efficiency, access to finance and innovation activities. We enrich our understanding on firms’ performance by adopting the stochastic frontier approach (SFA), which allows us to estimate profit functions and to obtain efficiency scores for a large sample of European firms. We pioneer the use of a novel dataset that merges survey-based data derived from the ECB Survey on access to finance for enterprises (SAFE) with balance sheet information. Our evidence documents that credit constrained firms display an incentive to improve their efficiency in order to increase profitability. Among firms that have embarked in product innovation, those in the industry and high-tech sectors see their effort translated in higher profit efficiency. From a policy perspective, our results could help to better understand the link between innovation, financial constraints and efficiency, which goes beyond the idea that easier access to finance is the panacea to get higher profit efficiency. JEL Classification: D22, D24, L23, O31, C33 |
| Keywords: | access to finance, innovation, stochastic frontier approach, survey data |
| Date: | 2020–06 |
| URL: | http://d.repec.org/n?u=RePEc:ecb:ecbwps:20202419&r=all |
| By: | Hamed Taherdoost (Hamta Group , Research Club (Research and Development Departement) | Hamta Group, Hamta Academy | Hamta Group, Tablokar Co | Switchgear Manufacturer) |
| Abstract: | It is significant to note that user acceptance and confidence are crucial for further development of any new technology [1,2]. Businesses have facilitated or planning to facilitate their business platform to increase personnel efficiency, marketing improvement, cost reduction and increase profitability. Therefore, recognition the needs and acceptance of individuals is the beginning stage of any businesses and this understanding would be helpful to find the way of future development [3-5]. |
| Date: | 2019 |
| URL: | http://d.repec.org/n?u=RePEc:hal:journl:hal-02557395&r=all |
| By: | Xu, Lili; Lee, Sang-Ho |
| Abstract: | This study considers a strategic interplay between corporate social responsibility (CSR) and privatization policy in a mixed market, and investigates the impact of the order of sequential games. We compare the different timeline of the game between the privatization-then-CSR and the reverse case of CSR-then-privatization, and highlight the significant role of the foreign shareholding ratio of the CSR-firm. We show that partial privatization is always optimal regardless of the timeline of the game, but the privatization-then-CSR yields a lower (higher) degree of privatization while a higher (lower) level of CSR than the CSR-then-privatization when the foreign penetration is sufficiently low (high). We also show that privatization-then-CSR can be a unique equilibrium in an endogenous timing game but socially desirable only when the foreign penetration is neither sufficiently low nor high. |
| Keywords: | Strategic CSR, Partial privatization, Foreign penetration, Mixed market |
| JEL: | L1 L2 M14 |
| Date: | 2020–05 |
| URL: | http://d.repec.org/n?u=RePEc:pra:mprapa:100770&r=all |
| By: | Zhanna Tsaurkubule (Baltic International Academy); Zhaxat Kenzhin (Baltic International Academy); Dana Bekniyazova (Innovative University of Eurasia); Gulmira Bayandina (S.Toraighyrov Pavlodar State University); Gulsara Dyussembekova (S.Toraighyrov Pavlodar State University) |
| Abstract: | In modern science, there are a large number of techniques focused on the assessment of competitiveness through the analysis of certain resources in the region. However, accounting of human resources in such assessments is not used as a prior factor in identifying regional competitive advantages. Competitive advantages affect not only the efficiency of individual sectors of the economy but also the overall social and economic development of the country. Assessment of the competitiveness of the region should include one of the main parameters of the human resource development level. Therefore, the forecast for the competitiveness of the region should take into account the pace of human resources development. The methods used in Kazakhstan for assessing the competitiveness of a region considers only the assessment of human resources in its structure but do not take into account the level of their development over time, as well as the multi-factorial nature of their components.The work explains and analyzes rating model for assessing of the competitiveness of the regions of Kazakhstan (the National Chamber of Entrepreneurs of the Republic of Kazakhstan). The authors proposed a methodology for ranking the regions of Kazakhstan based on an assessment of the development of their human resources that affect the competitiveness of the region. It includes an analysis of demographic, labor and social and economic indicators reflecting the state of human resources. |
| Date: | 2020–03–30 |
| URL: | http://d.repec.org/n?u=RePEc:hal:journl:hal-02569361&r=all |