|
on Innovation |
|
Issue of 2009‒06‒10
fourteen papers chosen by Steffen Lippert Massey University Department of Commerce |
| By: | Laura Magazzini; Fabio Pammolli; Massimo Riccaboni; Maria Alessandra Rossi |
| Abstract: | The prominent role played by patents within the pharmaceutical domain is unquestionable. In this paper we take an unusual perspective and focus on a relatively neglected implication of patents: the effect of patent-induced information disclosure (of both successes and failures) on the dynamics of R&D and market competition. The study builds upon the combination of two large datasets, linking the information about patents to firm level data on R&D projects and their outcome. Two case studies in the fields of anti-inflammatory compounds and cancer research complement our analysis. We show the important role played by patent disclosure in shaping firms technological trajectories through the possibility of reciprocal monitoring in a context of parallel research efforts, and suggest the importance of enhancing the diffusion of information concerning failures, not only to avoid wasteful duplication of innovative efforts, but also as a tool for the identification of promising research trajectories. This paper is the result of the "R&D competition" research project carried out jointly with Adrian Towse and Martina Garau of the Office of Health Economics, London, UK. A preliminary draft of the paper has been presented to the DRUID Summer Conference 2006 (Copenhagen), and to the 11th ISS Conference (Sophia-Antipolis). |
| Keywords: | patent disclosure; innovation; r&d competition |
| JEL: | D23 D83 O34 |
| Date: | 2009–06 |
| URL: | http://d.repec.org/n?u=RePEc:trt:disawp:0902&r=ino |
| By: | Haeussler, Carolin; Harhoff, Dietmar; Mueller, Elisabeth |
| Abstract: | This paper investigates how patent applications and grants held by new ventures improve their ability to attract venture capital (VC) financing. We argue that investors are faced with considerable uncertainty and therefore rely on patents as signals when trying to assess the prospects of potential portfolio companies. For a sample of VC-seeking German and British biotechnology companies we have identified all patents filed at the European Patent Office (EPO). Applying hazard rate analysis, we find that in the presence of patent applications, VC financing occurs earlier. Our results also show that VCs pay attention to patent quality, financing those ventures faster which later turn out to have high-quality patents. Patent oppositions increase the likelihood of receiving VC, but ultimate grant decisions do not spur VC financing, presumably because they are anticipated. Our empirical results and interviews with VCs suggest that the process of patenting generates signals which help to overcome the liabilities of newness faced by new ventures. |
| Keywords: | biotechnology, intellectual property rights, patents, R&D and venture capital |
| JEL: | G24 L20 L26 O30 O34 |
| Date: | 2009 |
| URL: | http://d.repec.org/n?u=RePEc:zbw:zewdip:7529&r=ino |
| By: | Knockaert, M.; Ucbasaran, D.; Wright, M.; Clarysse, B. (Vlerick Leuven Gent Management School) |
| Abstract: | The increased pressure put on public research institutes to commercialize their research results has given rise to an increased academic interest in technology transfer in general and science based entrepreneurial firms specifically. By building on innovation speed and knowledge literatures, this paper aims to improve understanding of how tacit knowledge can be effectively transferred from the research institute to the science based entrepreneurial firm. More specifically, we assess under which conditions tacit knowledge contributes to the generation of innovation speed, which is a crucial success parameter for technology based ventures. Using an inductive case study approach, we show that tacit knowledge can only be transferred effectively when a substantial part of the original research team joins the new venture as founders. Our analysis also reveals that the mere transfer of tacit knowledge is insufficient to ensure the successful commercialization of technology. Commercial expertise is also required on the condition that the cognitive distance between the scientific researchers and the person responsible for market interaction is not too large. Our findings have implications for science based entrepreneurs, technology transfer officers, venture capitalists, policy makers and the academic community. |
| Keywords: | science based entrepreneurial firms; tacit knowledge; technology transfer; innovation speed; cognitive distance |
| Date: | 2009–04–04 |
| URL: | http://d.repec.org/n?u=RePEc:vlg:vlgwps:2009-07&r=ino |
| By: | Norbäck, Pehr-Johan (Research Institute of Industrial Economics (IFN)); Persson, Lars (Research Institute of Industrial Economics (IFN)) |
| Abstract: | We construct a model where incumbents can either acquire basic innovations from entrepreneurs, or wait and acquire developed innovations from entrepreneurial firms supported by venture capitalists. We show that venture-backed entrepreneurial firms have an incentive to overinvest in development vis à vis incumbents due to strategic product market effects on the sales price of a developed innovation. This will trigger preemptive acquisitions by incumbents, thus increasing the reward for entrepreneurial innovations. We also show that venture capital can emerge in equilibrium if venture capitalists have cost advantages, or if development is associated with double moral hazard problems. |
| Keywords: | Acquisitions; Entrepreneurship; Innovation; Venture Capital |
| JEL: | G24 L10 L20 M13 O30 |
| Date: | 2009–01–02 |
| URL: | http://d.repec.org/n?u=RePEc:hhs:iuiwop:0783&r=ino |
| By: | Baum, Joel (Rotman School of Management, University of Toronto); Cowan, Robin (UNU-MERIT, Maastricht University); Jonard, Nicolas (Universite du Luxembourg) |
| Abstract: | Empirical research on strategic alliances has focused on the idea that alliance partners are selected on the basis of social capital considerations. In this paper we emphasize instead the role of complementary knowledge stocks (broadly defined) in partner selection, arguing not only that knowledge complementarity should not be overlooked, but that is may be the true causal force behind alliance formation. To marshal evidence on this point, we design a simple model of partner selection in which firms ally for the purpose if learning and innovating, and in doing so create an industry network. We abstract completely from network-based structural and strategic motives for partner selection and focus instead on the idea that firms' knowledge bases must "fit" in order for joint learning and innovation to be possible, and thus for an alliance to be feasible. The striking result is what while containing no social capital considerations, the simple model replicates the firm conduct, network structure, and contingent effects of network position on performance observed and discussed in the empirical literature. |
| Keywords: | Network formation and dynamics, Innovation, Knowledge, Alliances |
| JEL: | D85 D24 L14 L24 O33 |
| Date: | 2009 |
| URL: | http://d.repec.org/n?u=RePEc:dgr:unumer:2009022&r=ino |
| By: | Alston, Julian M.; Pardey, Philip G.; Ruttan, Vernon W. |
| Abstract: | Many researchers and commentators underestimate the length and importance of the time lags between initial research investment and ultimate impacts on the development and adoption of technological innovations. In both econometric studies of productivity and ex post and ex ante benefit-cost evaluations of research investments, researchers typically impose untested assumptions about the R&D lag, which can have profound implications for the results. In this paper we present a range of evidence on agricultural R&D lags including both aggregative analysis of U.S. agricultural productivity using time series data, and some specific details on the timelines for the research, development, and adoption processes for particular mechanical and biological innovations in U.S. agriculture. The aggregative analysis makes use of a comparatively rich state-level data set on U.S. agriculture that makes it possible to test hypotheses about the R&D lag and to evaluate the implications for the specification of models of production and for findings regarding the rate of return to public research investments. The results support the use of a longer lag with a different shape than is typically imposed in studies of industrial R&D. These findings are supported by the timelines for specific technological innovations, including new crop varieties, as well as tractors and other mechanical innovations. |
| Keywords: | Research and Development/Tech Change/Emerging Technologies, |
| Date: | 2008–12 |
| URL: | http://d.repec.org/n?u=RePEc:ags:umaesp:50091&r=ino |
| By: | Matopoulos, Aristides; Vlachopoulou, Maro |
| Abstract: | This paper emphasizes on the concept of innovation which is more and more nowadays recognized as of significant importance for all companies across different business sectors. The paper initially provides a review of the innovation literature in terms of types, classifications, and sources of innovation that have been proposed over time. Then, innovation in the context of the food industry is examined and it is attempted to identify innovation strategies followed by Greek food companies based on a value driven approach of innovation. The paper finally, provides insights from eight Greek food companies, which were selected from four subsectors: fruit and vegetables, dairy products, meat products (cured meats), and bakery products. The criterion used for the selection was market success and outstanding performance (e.g. market share, achieved results). Evidence indicates that companies tend to innovate along the dimension of offerings, which is more related to the traditional view of product and process innovation. |
| Keywords: | business innovation, innovation strategies, Greek food industry, Agribusiness, Agricultural and Food Policy, Farm Management, Food Consumption/Nutrition/Food Safety, Industrial Organization, |
| Date: | 2008–10 |
| URL: | http://d.repec.org/n?u=RePEc:ags:eea110:49881&r=ino |
| By: | Antonelli Cristiano (University of Turin); Scellato Giuseppe |
| Abstract: | The features of the industrial system within which innovation processes take place affect the pace and the characteristics of the innovation processes and influence their evolution. The analysis of the industrial structure and of the innovation strategies of firms cannot be separated. The introduction of general technological changes that concern mainly the position rather than the slope of the maps of isoquants characterize the innovation process of large corporations. Small manufacturing firms instead rely upon technological knowledge implemented by means of learning processes and introduce technological changes typically characterized by a bias finalized to make the most efficient use of locally abundant production factors. Their contribution to economic growth in terms of total factor productivity is important and can be grasped only when the role of output elasticity of production factors in growth accounting is properly appreciated. The empirical evidence for a sample of 6000 Italian firms in the years 1997-2005 confirms that localized technological changes were mainly introduced by small firms with low levels of profitability and high wages and had significant positive effects on their economic efficiency. |
| Date: | 2009–08 |
| URL: | http://d.repec.org/n?u=RePEc:uto:labeco:200908&r=ino |
| By: | Henchion, Maeve; Kelly, Debbie; OâReilly, Paul |
| Abstract: | The public R&D system represents an important part of the framework conditions for carrying out innovation activities and creating commercially applicable knowledge (Drejer and Jørgensen, 2004). It is an important source of information for companies, particularly those that are developing new products (Tijssen, 2004). However, Rubenstein (2003) stated that there has been a perception that public research capacity and results were not being optimally used and thus that potential economic benefits were not entirely realised. It is also suggested that research conducted in the public sector is not efficiently or successfully transferred to industry (Markman et al, 1999) and that it is necessary to understand and improve the means of technology transfer for society to reap the benefits of public science (Geuna and Nesta, 2003). Thus, there is a growing interest, and indeed pressure, among policymakers and academics to ensure informed spending of taxpayersâ money, that useful and relevant research is conducted that represents good âvalue for moneyâ and that wealth is generated from publicly-funded research (Carr, 1992; Lyall et al., 2004; Mustar et al., 2006). To achieve this requires, amongst other things, the establishment of scientific and technical human capital which is the sum of researchersâ professional network ties and their technical skills and resources (Bozeman and Coreley, 2004). This paper examines the interactions engaged in by researchers from Irish public science providers (public research centres and higher education institutions), with a particular focus on researchers- industry interactions, as well as their skills and resources. To provide context, it firstly briefly outlines the actors involved in conducting publicly funded R&D in Ireland. It then describes the methodology and presents the results of a national survey of publicly funded food researchers focusing on the extent and nature of researcher interactions with other researchers and with industry, the barriers to and motivations for researcher-industry interaction and researcher skills regarding technology transfer. It concludes with a discussion and some policy recommendations. |
| Keywords: | Agribusiness, Agricultural and Food Policy, Farm Management, Food Consumption/Nutrition/Food Safety, Industrial Organization, |
| Date: | 2008–10 |
| URL: | http://d.repec.org/n?u=RePEc:ags:eea110:49850&r=ino |
| By: | Jikun Huang |
| Abstract: | China’s experience demonstrates the importance of technological development and public investment in improving agricultural productivity, farmer income, and food security in a nation with limited supplies of land and other natural resources. Technology has been the engine of China’s agricultural productivity growth in the past and will continue to play a major role in boosting China’s agricultural development and improving the nation’s food security in the 21st century.[IFPRI NO 3] |
| Keywords: | China; Agricultural Research and Development; Alternative R & D; Investment; Agriculture; fertilizer; pesticides |
| Date: | 2009 |
| URL: | http://d.repec.org/n?u=RePEc:ess:wpaper:id:2039&r=ino |
| By: | Gellynck, Xavier; Kuhne, Bianka |
| Abstract: | In an increasingly globalising market, innovation is an important strategic tool for micro, small, and medium sized enterprises (SMEs) to achieve competitive advantage (Avermaete et al., 2004a; Gellynck et al., 2007; Murphy, 2002). Innovation can be defined as an ongoing process of learning, searching and exploring resulting in new products, new techniques, new forms of organization and new markets (Lundvall, 1995). Innovation is a continuous process characterised by three steps: efforts, activities and results. Efforts are all resources, such as human and financial resources, a firm is investing in activities for the development of innovations. Results are the effects of these innovation activities on tangible (e.g. growth of market share, profit) as well as less tangible aspects (e.g. firm stability, efficiency) (Gellynck et al., 2006). Consequently, the measurement of innovation competences captures also the progress in developing an innovation and not only the result, such as the successful implementation of innovation (Gellynck et al., 2007). |
| Keywords: | Agribusiness, Agricultural and Food Policy, Farm Management, Food Consumption/Nutrition/Food Safety, Industrial Organization, |
| Date: | 2008–10 |
| URL: | http://d.repec.org/n?u=RePEc:ags:eea110:49847&r=ino |
| By: | WIPO WORLD INTELLECTUAL PROPERTY ORGANIZATION. |
| Abstract: | Indigenous and local communities justly cherish traditional knowledge (TK) as a part of their very cultural identities. Maintaining the distinct knowledge systems that give rise to TK can be vital for their future well-being and sustainable development and for their intellectual and cultural vitality. For many communities, TK forms part of an holistic world-view, and is inseparable from their very ways of life and their cultural values, spiritual beliefs and customary legal systems. This means that it is vital to sustain not merely the knowledge but the social and physical environment of which it forms an integral part.[WIPO NO 2; 920(E)] |
| Keywords: | Traditional Knowledge; Defensive Protection; Intellectual Property |
| Date: | 2009 |
| URL: | http://d.repec.org/n?u=RePEc:ess:wpaper:id:2001&r=ino |
| By: | Jan Pahl |
| Abstract: | The paper summarises the main ethical issues in social science and social care research. It outlines what is meant by research governance, especially as set out in the Department of Health Research Governance Framework (RGF)It considers key differences between clinical and social science/social care research and to look at some definitions of research.[NCRM, ESRC] |
| Keywords: | Research Governance; Social Science; Social Care Research; research; privacy; confidentiality; research staff; dissemination; research participants; Research Governance Framework for Health and Social Care |
| Date: | 2009 |
| URL: | http://d.repec.org/n?u=RePEc:ess:wpaper:id:2034&r=ino |
| By: | Sodano, Valeria |
| Abstract: | The food system negatively affects the environment, human health and the total well being of the society in many ways, causing: soil and water depletion, pollution due to the waste treatments, acid rains, desertification, climate change, ozone depletion and biodiversity loss. The paper endeavors to compare the needs of a sustainable food system with strategies actually carried out at private and public level. It is shown that while the process of trade liberalization is pushing towards market deregulation and decreasing state intervention, corporate social responsibility is very low and unable to tackle the huge environmental problems faced by the food system. The main conclusion of the paper is that the current competitive games played by leading firms are not in any way able to promote the sustainability of the new global food system and that more state intervention is requested in order to reach the goal. |
| Keywords: | innovation, sustainability, local food systems, fresh produce, participatory democracy, Agribusiness, Agricultural and Food Policy, Farm Management, Food Consumption/Nutrition/Food Safety, Industrial Organization, |
| Date: | 2008–10 |
| URL: | http://d.repec.org/n?u=RePEc:ags:eea110:49891&r=ino |