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on Economics of Strategic Management |
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Issue of 2026–03–09
six papers chosen by João José de Matos Ferreira, Universidade da Beira Interior |
| By: | Beraja, Martin; Peng, Wenwei; Yang, David Y.; Yuchtman, Noam |
| Abstract: | Venture capital plays an important role in funding and shaping innovation outcomes, characterized by investors’ deep knowledge of the technology, industry, and institutions, as well as their long-running relationships with the entrepreneurship and innovation community. China, in its pursuit of global leadership in AI innovation and technology, has set up government venture capital funds so that both national and local governments act as venture capitalists. These government-led venture capital funds combine features of private venture capital with traditional government innovation policies. In this paper, we collect comprehensive data on China’s government and private venture capital funds. We draw three important contrasts between government and private VC funds: (i) government funds are spatially more dispersed than private funds; (ii) government funds invest in firms with weaker ex-ante performance signals but these firms exhibit growth rates exceeding those of firms in which private funds invest; and (iii) private VC funds follow government VC investments, especially when hometown government funds directly invest on firms with weaker ex-ante performance signals. We interpret these patterns in light of VC funds’ traditional role overcoming information frictions and China’s unique institutional environment, which includes important frictions on mobility and information. |
| Keywords: | venture capital; artificial intelligence; innovation policy |
| JEL: | G24 G28 O38 |
| Date: | 2025–02–28 |
| URL: | https://d.repec.org/n?u=RePEc:ehl:lserod:124143 |
| By: | Radovanovic Nikola; Fabbri Emanuele (European Commission - JRC); Sanz Macarena; Predic Marina; Radovanovic Nikola; Fabbri Emanuele (European Commission - JRC) |
| Abstract: | This paper examines the effectiveness of Smart Specialisation strategies in addressing sustainability and competitiveness challenges in the Western Balkans, a region whose innovation performance is strongly tied to EU accession efforts. Emphasizing green and digital transitions as key drivers but also situating Smart Specialisation within the New European Innovation Agenda (NEIA), the Growth Plan for the Western Balkans, and their emphasis on building connected Regional Innovation Valleys (RIVs), it highlights the need for system-level innovation focused on inclusive growth. The involvement of local players and strategic resource allocation remain crucial for practical outcomes. Evidence shows progress in digital infrastructure and sectoral initiatives, yet persistent gaps in data availability, skills and regulatory frameworks hamper uptake. In addition to environmental considerations, the paper draws attention to ICT cooperation, sectoral knowledge and innovation systems and sustainability reporting alignment as critical enablers for resilient development. Strengthening regional cooperation and stakeholder trust emerges as the key to optimising Smart Specialisation strategies for sustainable, innovation-led growth in line with EU priorities |
| Date: | 2026–01 |
| URL: | https://d.repec.org/n?u=RePEc:ipt:iptwpa:jrc143970 |
| By: | Sasso Simone (European Commission - JRC); Perpiña Castillo Carolina; Napolitano Lorenzo (European Commission - JRC) |
| Abstract: | This brief presents new JRC evidence on innovation performance across EU territories, with a focus on differences between urban, intermediate and rural regions. By building innovation indicators constructed and estimated for the first time at a sufficiently granular territorial level to capture differences between urban and rural regions on R&D investment, patents, trademarks and industrial designs, the analysis confirms urban–rural innovation gaps, while also revealing substantial heterogeneity not only between urban and rural regions, but also among rural regions themselves. While innovation activity remains highly concentrated in urban areas, the evidence also points to a limited number of rural regions that notably stand out in specific innovation dimensions, often linked to specialised industrial structures, public research capacity or proximity to urban innovation hubs. These findings highlight both the concentration of innovation activity in urban regions and the presence of pockets of strong innovation capacity in rural territories, pointing to the existence of innovation potential beyond urban centres and underscoring the importance of place-based policies that recognise territorial diversity and support more balanced innovation-driven competitiveness across EU regions |
| Date: | 2026–01 |
| URL: | https://d.repec.org/n?u=RePEc:ipt:iptwpa:jrc145387 |
| By: | Heather Hennerich |
| Abstract: | China has focused on innovation and is moving from being a low-cost producer to a high-tech producer and exporter. An economist explains the trajectory. |
| Date: | 2025–11–05 |
| URL: | https://d.repec.org/n?u=RePEc:fip:l00100:102781 |
| By: | John Van Reenen |
| Abstract: | How the study of innovation and competition has been transformed. |
| Keywords: | Growth, Creative destruction, Nobel, Innovation, , Productivity |
| Date: | 2026–02–20 |
| URL: | https://d.repec.org/n?u=RePEc:cep:cepcnp:722 |
| By: | Anna Bastone (Parthenope University of Naples (Italy, Naples)); Luigi Mosca; Christopher Tucci; Sai Lan (EM - EMLyon Business School) |
| Abstract: | Digital transformation is reshaping the competitive landscape by forcing incumbent firms to rethink their strategies, organizational structures, and business models. While a substantial body of literature has explored digital transformation in specific sectors, focusing on various factors and organizational mechanisms, there remains a lack of a comprehensive and cohesive understanding of how incumbent firms actively lead or respond to these transformations. As a result, the concept remains somewhat fragmented and underdeveloped. This review addresses this gap by conducting a systematic review of 68 peer-reviewed articles across five major academic domains: entrepreneurship, general management, innovation, organization studies, and strategy. Our review identifies pathways of leading versus responding to digital transformation as well as the internal and external consequences and antecedents that enable or constrain digital transformation. We also offer a research agenda aimed at deepening our theoretical and managerial understanding of how incumbent firms navigate digital transformation , providing novel directions for future studies. |
| Keywords: | organizationalstructure, Business models, digital transformation, incumbent, strategy, responding, leading, literature review |
| Date: | 2025–12–09 |
| URL: | https://d.repec.org/n?u=RePEc:hal:journl:hal-05489666 |