nep-ino New Economics Papers
on Innovation
Issue of 2017‒06‒04
thirty-two papers chosen by
Uwe Cantner
University of Jena

  1. Enterprise innovation in China: Does ownership or size matter? By Huang, Yanghua; Salike, Nimesh; Yin, Zhifeng; Zeng, Douglas Zhihua
  2. Regional effectiveness of innovation – leaders and followers of the EU NUTS 0 and NUTS 2 regions By Agata Zoltaszek; Alicja Olejnik
  3. University-Industry R&D Collaboration as an Engine of Firm Growth? An empirical evaluation of knowledge cluster policies in Japan (Japanese) By OKAMURO Hiroyuki; IKEUCHI Kenta
  4. SMEs Innovativeness and Institutional Support System: The Local Experiences in Qualitative Perspective By Anna Lewandowska; Mateusz Stopa
  5. Demand pull instruments and the development of wind power in Europe: A counter-factual analysis By Marc Baudry; Clément Bonnet
  6. Comparative Advantage in Innovation and Production By Mariano A. Somale
  7. Classifications of Innovations Survey and Future Directions By Mario Coccia
  8. Innovation Policy in a Networked World By Olav Sorenson
  9. The empirics of enabling investment and innovation in renewable energy By Géraldine Ang; Pralhad Burli; Dirk Röttgers
  10. Enhancing Polish firms’ innovation activities in comparison to the other Moderate Innovators countries By Aleksandra Zygmunt
  11. Circular Economy: Technologies for Circulation By Justina Banioniene; Lina Dagiliene
  12. Innovativeness as the determinant of the economic development in India. Indian economy in comparison with the world innovation leaders By Joanna Prystorm
  13. The Ephemeral Concept of Parasitic Commercial Practices in the EU By Radka MacGregor Pelikánová
  14. The Conceptualization of an Innovative Business Model – the Case of a Technology Enterprise By Ewa Badzinska
  15. Fostering innovative business investment in Spain By David Haugh; Muge Adalet McGowan; Dan Andrews; Aida Caldera Sánchez; Gabor Fulop; Pilar Garcia Perea
  16. Determinants of Novice, Portfolio and Serial Entrepreneurship: An Occupational Choice Approach By Tran, Hien Thu; Carbonara, Emanuela; Santarelli, Enrico
  17. Local Discoveries and Technological Relatedness: the Role of Foreign Firms By Alessia Lo Turco Author-X-Name-First: Alessia; Daniela Maggioni Author-X-Name-First: Daniela
  18. Assessing the effect of public funding on private innovation investment in Uruguay By Felipe Berrutti; Carlos Bianchi
  19. Sales Range and Innovation Activity in the Industry System of Poland By Arkadiusz Œwiadek
  20. Patent Licensing, Entry and the Incentive to Innovate By Yair Tauman; Chang Zhao
  21. Some Methodological Approaches to the Ranking of Regions Based on the Results of Innovation Activities By Barinova, Vera; Zemtsov, Stepan; Semenova, Roza
  22. Bargaining in Patent Licensing with Inefficient Outcomes By Yair Tauman; Yoram Weiss; Chang Zhao
  23. International activity of the innovative enterprises – experience and recommendations By Zofia Grodek-Szostak; Janusz Nesterak; Malgorzata Luc
  24. Innovative entrepreneurship evaluation in opinion of service company managers in Podlaskie Province By Elzbieta Skapska
  25. Industrial strategy in practice: innovation and management best practices in the automobile, energy and aerospace clusters in Bizkaia By Alexander Grous
  26. Influence of the Cultural Background at Small and Medium Sized-Enterprises Innovations in Regional Dimension By Maria Bernat; Anna Bruska; Anna Jasinska- Biliczak
  27. The Risk Involved in Implementation of Innovations in the Real Estate Market By Marcin Sitek
  28. Trade, Education, Governance and Distance: Impact on Technology Diffusion and Productivity Growth in Asia and LAC By Schiff, Maurice; Wang, Yanling
  29. Endogenous Recombinant Growth and Intellectual Property Rights By Marchese, Carla; Marsiglio, Simone; Privileggi, Fabio; Ramello, Giovanni B.
  30. Open source projects as incubators of innovation: From niche phenomenon to integral part of the software industry By Schrape, Jan-Felix
  31. Innovation as an immanent attribute of an agile enterprise By Agnieszka Rzepka; Andrzej J. Olak
  32. Entrepreneurial Motives as a Differentiating Factor in Innovativeness By Ludmila Kozubikova; Gabriela Sopkova; Vladimir Krajcik; Ladislav Tyll

  1. By: Huang, Yanghua (Institute of Industrial Economics, Chinese Academy of Social Sciences); Salike, Nimesh (Division of Economics, Xi'an Jiaotong-Liverpool University); Yin, Zhifeng (School of Economics, Central University of Finance and Economics); Zeng, Douglas Zhihua (World Bank)
    Abstract: In contrast to previous papers, where in these two important aspects of innovation were delved separately, this paper analyses the effects in unison by using the most comprehensive data on Chinese enterprises- World Bank China Enterprise Survey (2012). Our dependent variables are innovation performance measured in various dimensions: the probabilities of R&D expenditure, staff training, product innovation, process innovation and management innovation. Our key variables of interest are ownership based on largest share (SOE, private and foreign) and firm size based on the number of employees. The analysis is based on panel data approach with different dimensions added (city, industry fixed) and the interaction of ownership and size variables. Major findings suggest that SOEs and domestic private enterprises are much alike in innovation participation, but different in innovation diversification that leads to ownership specific innovative advantage. Foreign enterprises are innovative in most of the innovation measurements. Size if positively correlated to innovation. We also find that as the size of enterprise increases, ownership specific innovative advantage is subject to changeable. That implies ownership and size should be examined jointly rather than separately. The result also shows the effects of ownership and size on innovations are uneven geographically and industrially.
    Date: 2017–05–24
  2. By: Agata Zoltaszek (Faculty of Economics and Sociology, University of Lodz); Alicja Olejnik (Faculty of Economics and Sociology, University of Lodz)
    Abstract: Innovation constitutes an important factor for growth in all EU countries. Regions of the EU play a principle role in shaping new innovation trajectories and in bringing out the hidden potential for national growth. However, it is not only the level of innovation that diversifies regions, but also the innovative potential and the level of its realization. Therefore, the aim of this paper is to assess the realization of innovative potential, defined as effectiveness, in EU NUTS 0 and, if possible, NUTS 2 regions. To accomplish this goal a relative effectiveness method in used. The DEA (Data Envelopment Analysis) makes it possible to analyse the relative technical effectiveness based on regional inputs and outputs, without incorporating the legal and technological specifications of innovations, thus treating it like a production process. The inputs of the process are employment in technology and knowledge-intensive sectors and R&D expenditure, while the outputs include the number of patents and GDP. All variables are standardized by the size of the economically active population. DEA results divide regions in to two groups – effective, being the leaders; and ineffective, or followers. The DEA approach was combined and extended by ESDA (Exploratory Spatial Data Analysis) in order to pinpoint spatial patterns of innovation efficiency across NUTS 2 regions. Defining the best practices and implementing the learning-from-the-best policy is important in the process of regional development and specialization
    Keywords: regional innovation, effectiveness, DEA (data envelopment analysis), regional development, spatial autocorrelation, ESDA (exploratory spatial data analysis)
    JEL: C44 C46 C38 O31 O11
    Date: 2017–05
  3. By: OKAMURO Hiroyuki; IKEUCHI Kenta
    Abstract: University-industry research and development (R&D) collaboration has been attracting much attention as an effective means to promote innovation. Also in Japan, public support has been provided to such local R&D collaboration through cluster policies. However, no empirical evaluation has been made using micro data regarding the Ministry of Education, Culture, Sports, Science and Technology (MEXT)'s knowledge cluster policies, which are comparable to those in Europe. Thus, using micro data from public statistics and fixed effect panel estimation, this paper empirically examines the direct effects of these cluster policies on R&D expenditures of cluster universities and firms, on the business performance (including sales growth and productivity) of participating firms, as well as their spillover effects on all manufacturing plants in cluster regions. Estimation results show that after cluster participation, 1) universities and research institutes significantly increased internal and external research expenditures and research funding from private firms, 2) participating firms' business performance did not significantly improve, and 3) manufacturing plants in cluster areas did not significantly increase labor productivity except for smaller ones with less than 50 employees, compared to their counterparts that did not participate in these clusters. These results suggest that MEXT's cluster policies promoted university-industry R&D collaboration, which, however, did not induce overall growth of participating firms' and local manufacturers' productivity.
    Date: 2017–05
  4. By: Anna Lewandowska (University of Information Technology and Management, 35–225 Rzeszow, ul. Sucharskiego 2, Poland); Mateusz Stopa (University of Information Technology and Management, 35–225 Rzeszow, ul. Sucharskiego 2, Poland)
    Abstract: Innovations are considered to be one of the most progressive determinants of socio-economic growth, also in the regional and local perspective (compare Petrariu, et al., 2013; Priede & Pereira 2013; Sternberg & Arndt, 2001). The high level of innovation has a positive impact on productivity at the firm level (business performance, see, e.g. Bhaskaran, 2006) and consequently also on the economic results at regional or national level (economic performance, see, e.g. DiPietro & Anoruo, 2006). The aim of this paper is to contribute to a greater understanding of the research on institutional support system for SMEs innovativeness in the Podkarpackie region. In analyzing this case, we raise the following two questions: (1) what are the types of innovation strategies of SMEs in Podkarpackie?; (2) what are the factors affecting innovation and potential barriers to further use of institutional support system aimed at the implementation of innovation in enterprises. The study was qualitative interviews (in-depth interviews - IDI) with key individuals in SME’s, R&D units, business environment institutions, regional and local authorities. Based on the opinion of entrepreneurs and others, evaluated programs and projects dedicated to innovation and identified barriers encountered by entrepreneurs limiting the implementation of innovation. Made in this way to assess the effectiveness of institutional support system. The results of our research show that institutional support system mitigate negative consequences of peripheral localization of the enterprises, where specific innovation strategy has no influence on SMEs assessment of innovation effectiveness. The innovation is too costly and SMEs are too weak in peripheral region, therefore there is great need for reasonable and flexible institutional support system. However, peripheral situation influences this institutional system itself, strengthening the mechanisms of self-cenzorship.
    Keywords: innovation; innovation strategies; SMEs; institutional support system
    JEL: L25 O12 O33
    Date: 2017–05
  5. By: Marc Baudry; Clément Bonnet
    Abstract: Renewable energy technologies are called to play a crucial role in the reduction of greenhouse gas (GHG) emissions. Since most of these technologies did not yet reach grid parity, public policies can rely on two types of approach to stimulate innovation: supply-push and demand-pull. The latter aims at creating demand for new technologies and at stimulating their diffusion. Nevertheless, due to the complex self-sustained dynamics of diffusion and to spillovers between the countries it is hard to determine whether newly installed capacities are imputable to national support policies and/or to policies implemented by neighbor countries. The paper addresses this problem. A micro-founded model of technology diffusion is developed and calibrated. It captures the influence of demand-pull policies on wind power installed capacities for six European countries over the last decade. A counter-factual analysis is carried out to assess the impact of demand-pull policies on wind power development by taking into account the interplay between national policies via spillovers.
    Keywords: Renewable energy, Technology diffusion, Demand pull instruments
    Date: 2017
  6. By: Mariano A. Somale
    Abstract: This paper develops a multi-country, general equilibrium, semi endogenous growth model of innovation and trade in which specialization in innovation and production are jointly determined. The distinctive element of the model is the ability of the agents to direct their research efforts to specific goods, in a context of heterogeneous innovation capabilities across countries and contemporaneous decreasing returns to R&D. The model features a two-way relationship between trade and technology absent in standard quantitative Ricardian trade models. I calibrate the model using a sample of 29 countries and 18 manufacturing industries and quantify the importance of endogenous adjustments in technology. I find that endogenous adjustments in technology due to directed research can account for up to 52.8% of the observed variance in comparative advantage in production. In addition, the model suggests that standard Ricardian models overestimate the reductions in real income from increases in trade costs and underestimate the increment in real income due to trade liberalizations.
    Keywords: Trade ; Innovation ; Directed research ; Quantitative models
    JEL: F10 F11 O30
    Date: 2017–05
  7. By: Mario Coccia
    Abstract: The purpose of this paper is to focus on similarity and/or heterogeneity of taxonomies of innovation present in the economic fields to show as the economic literature uses different names to indicate the same type of technical change and innovation, and the same name for different types of innovation. This ambiguity of classification makes it impossible to compare the various studies; moreover the numerous typologies existing in the economics of innovation, technometrics, economics of technical change, management of technology, etc., have hindered the development of knowledge in these fields. The research presents also new directions on the classification of innovation that try to overcome these problems.
    Date: 2017–04
  8. By: Olav Sorenson
    Abstract: Social relationships channel information, influence, and access to scarce resources. As a consequence, social networks – the patterns of these relationships across the members of a community – influence who comes up with important innovations, whether and how rapidly those innovations get adopted, and who has the ability to commercialize them. They therefore also affect the overall rate at which innovation occurs in the economy. This essay provides an introduction to and review of the research on social networks most relevant to innovation, with a particular focus on the earliest stages of the innovation process. It then discusses the likely consequences of a variety of policy interventions that could either reduce the importance of social relationships to innovation or alter the patterns of relationships in ways that might promote innovation.
    JEL: O31 O32 Z13
    Date: 2017–05
  9. By: Géraldine Ang (OECD); Pralhad Burli (Montclair State University); Dirk Röttgers (OECD)
    Abstract: This working paper undertakes econometric analysis to assess the impacts of climate mitigation policies and the quality of the investment environment on investment and innovation in renewable power in OECD and G20 countries. It also assesses how countries’ investment environments interact with climate mitigation policies to influence investment and patent activity in renewable power. The paper gathered and tested data across OECD and G20 countries on more than 70 explanatory variables, which were analysed using two Poisson-family regression models: one to investigate determinants of investment flows in renewable power from 2000 until 2014; and one to investigate determinants of patent counts in renewable-power technologies from 2000 until 2012. Results of the econometric analysis are consistent with the main hypothesis in this paper that beyond setting climate mitigation policies, policy makers need to strengthen the general investment environment and align it with climate mitigation policies in order to mobilise investment and innovation in renewable power across OECD and G20 countries.
    Keywords: climate change, climate finance, estimation, public intervention, regression
    JEL: F30 H23 L94 O3 Q42 Q48 Q54 Q55 Q58
    Date: 2017–05–31
  10. By: Aleksandra Zygmunt (Opole University of Technology, Poland)
    Abstract: Faced with circumstances of rapid changes, the crucial is stimulation of actions aimed at enhancing competitiveness. In this regard, the European Union strategy Europe 2020 should be mentioned. Concerning the role of firms’ innovation activities in economic growth of regions and countries, it is important to explore how enhancing Polish firms’ innovation activities differ between the EU countries with a similar to Poland level of innovation. Thus, the particular emphasis was put on the Moderate Innovators countries.The aim of this paper is to investigate enhancing Polish firms’ innovation activities against those from the other Moderate Innovators countries.The study was based on data from the European Innovation Scoreboard 2016 related to firm activities dimensions: firm investments, linkage & entrepreneurship and intellectual assets. The time period was 2008–2015 and was limited by data availability. To study multivariate analysis and the zero unitarization methods were applied. These methods allowed to multivariate analysis of enhancing firms’ innovation activities in Poland and those from the other EU countries with similar to Poland level of innovation.This paper contributes to the existing literature by providing new insight on understanding the issues related to firms’ innovation activities. The results reveal, among others, that although Polish firms’ innovation activities have improved against those from the other Moderate Innovators counties, it requires further enhancing. The findings have practical and policy implications. It is assumed that the obtained results may be useful for firms, regions and country in enhancing competitiveness.
    Keywords: innovation activities; firm; the European Union; Moderate Innovators countries
    JEL: O30 O52 R11
    Date: 2017–05
  11. By: Justina Banioniene (Kaunas University of Technology, School of Economics and Business); Lina Dagiliene (Kaunas University of Technology, School of Economics and Business)
    Abstract: Circular economy in the most recent scientific literature and conducted research is recognized as one of the most advanced models of sustainable economic growth, ensuring competitiveness and opening new businesses with the potential to offer long-lasting economic, environmental and social benefits. Investment in technological innovations may be a way to implement the principle of circular economy at micro (company) level. However, there is a gap in the literature in a systemic research of circular economy technology definition and classification of technologies in the context of creating eco-design products and achieving zero-waste production. Thus this theoretical paper provides a contribution to fill this gap. The aim of this theoretical paper is to define the concept of circular economy technology and to classify these technologies. The methods of systemic, comparative and logical scientific literature analysis, constructive research approach were used in the research. This study provides an extensive review of the scientific literature, with the purpose of grasping the concept of circular economy technology at micro (company) level: origins, definitions, classification, modelling of possibilities to gain, adapt or create circular economy technologies for circular economy implementation. Results evidence that technologies can be classified into basic technologies and technologies to implement circular economy, and the latter could be separated into technologies for eco-design products and for future manufacturing technologies as been detailed in the paper. This research could be useful for preparing government regulation in order to enable the implementation of circular economy, forecasting the need government investment and the institutional efforts to advise and convince companies towards actions implementing circular economy.
    Keywords: circular economy, technology, circular economy technology, classification.
    JEL: O3 Q5
    Date: 2017–05
  12. By: Joanna Prystorm (University of Bialystok, Faculty of Economics and Management, Poland)
    Abstract: The advancing globalization processes, the take-up on the strength of competition, or the ever-changing needs of the people are forcing economies and the functioning of these entities, constantly being innovative. Innovation is a kind of “an idea for a better tomorrow”, which can help you to persevere in this turbulent environment, and not “innovate, that is, to die” (Freeman, 1973). It is obvious, that aspect of innovations already tested since time immemorial, but innovation economy of India, which until a few years ago, grew at the fastest pace in the world, seems to be a worthy area to study. The purpose of the present discourse is an attempt to present the role of innovations in one of the fastest developing economies – Indian economy, as well as elaboration on the aspects of its innovativeness compared with the group of most innovative, competitive and well developed economies in the world. literature analysis, data analysis, statistical analysis of the data source, Pearson's correlation coefficient. The Indian economy is one of the most innovative in BRICS group. India is aware of the role of innovation in economic development, which confirms, among other things the fact that many institutions and government action is aimed at supporting innovative activity in the country (for example DRDO, ISRO, IIP, FICCI, or NIF and C-DAC). In the state of changing customers’ expectations, modern technologies successfully develop not only in the Europe, United States or Japan. To the circle of innovative tycoons candidate also India where in the recent years, economic development is significantly dynamic. Modern technologies in India are considered better. Innovations constitute important area of Indian economy and decisive solutions and interesting methods can be interesting for the European entrepreneurs. After the crisis, the situation of Europe will be more complicated. It is widely known that dynamically developing world will decide on the developing economies. It means that they will need more raw materials for the fulfilment of the growing appetite and huge innovation pressure for the search of adequate solutions for rich and still averagely poor markets. Therefore, not only tablets for 35 USD appear but also new energetic technologies. The Indian innovativeness is giving this to world. India as a country struggling economic crisis and the actions taken in connection with the chance which brings with it innovation, can serve as a worthy model to follow. Courageous, but - it seems - be a matching statement might be: “... you do not have sufficient funds to purchase the newest Ipod, try to create their own, much cheaper ... you will certainly find interest among potential customers ...”
    Keywords: innovativeness, economic development, India, world innovation leaders, BRICS
    JEL: O3
    Date: 2017–05
  13. By: Radka MacGregor Pelikánová (Metropolitan University Prague, Dubeèská 900/10, 100 31 Prague 10 , Czech Republic)
    Abstract: Research background: It has been one decade since the transposition deadline regarding the Unfair Commercial Practices Directive. The EU´s growth strategy, Europe 2020, and all EU member states are committed to smart, sustainable, and inclusive growth, to the single internal market and to R&D leading to innovations. These positive priorities, however, often conflict with one another. The EU crossed the Rubicon and decided to harmonize the protection against parasitic commercial practices hurting intellectual property and consumers. Is this appropriate, effective and efficient? Purpose of the article: The primary purpose of this article is to assess the appropriateness, effectiveness and efficiency of the EU harmonization of the ephemeral concept of parasitic commercial practices. The secondary purpose is to assess approach(es) of the EU and EU member states to this overlap of the competition and intellectual property regimes. The third purpose is to assess the feasibility of the integrative harmonization in this arena. Methodology/methods: The multi-disciplinary nature of this article, and its three purposes, leads to the employment of Meta-Analysis, of the critical comparison of laws and the impact of their application, to the holistic perception of historical and national contexts, and to case studies. The primary sources (field search) and secondary sources (literature) are explored and the yield knowledge and data are confronted with the explored cases. The dominating qualitative research and data are complemented by the quantitative research and data. Findings & Value added: The Unfair Commercial Practices Directive harmonizes the protection of various issues, including the ephemeral concept of parasitic commercial practices. The set trio of purposes leads to a conclusion that this overlap of competition and intellectual property protection is highly sensitive and nationally particular. EU integration in this sphere is needed, but the undertaken harmonization is not fully effective and efficient, and perhaps even not appropriate.
    Keywords: Unfair Commercial Practices Directive; Unfair Competition; Intellectual Property; Innovation; Consumers.
    JEL: D18 K22 M38 O34
    Date: 2017–05
  14. By: Ewa Badzinska (Poznan University of Technology)
    Abstract: The complexity and dynamic changes of external conditions necessary for enterprises to function and increased competition in the local and global markets impose constant search for the most effective business model for the development of organizations. Its accurate identification and measurement influence the utilization of internal capacity of organizations, market opportunities and application of adequate instruments of competition. The scientific purpose of the study is to conduct a creative synthesis of the theoretical framework concerning business models. The empirical part of the paper is an attempt to present the conceptualization and descriptions of a real business model. It has been developed by young Polish IT enterprise for the implementation of a service for creating modern technological-programming solutions on the international market. The paper is of analytical and conceptual character. The application of the empirical method of a case study has made it possible to characterize the essence of creating an innovative business model and illustrate the progress of the studied phenomenon in business practice. The exploratory research has been conducted with regard to technological solutions offered by MindsEater Ltd. The research results reveal the existence of interdependencies between intellectual potential of staff members and success in business practice. By creating and implementing innovative business model, the enterprise must take into account the context of micro-business as well as social, economic and political environment in which it operates and the goals and mission of its activity. The conducted research is an authorial attempt to explain the concept of an innovative business model.
    Keywords: business models; entrepreneurship; intellectual potential; sustainability; technological solutions
    JEL: O21 O31 O32 O33
    Date: 2017–05
  15. By: David Haugh (OECD); Muge Adalet McGowan (OECD); Dan Andrews (OECD); Aida Caldera Sánchez (OECD); Gabor Fulop (OECD); Pilar Garcia Perea (OECD)
    Abstract: Spain has chronically low productivity growth, which undermines its ability to generate higher living standards. Important contributors to low productivity growth are the misallocation of capital to low productivity firms and under-investment in knowledge-based capital. To foster a better allocation of capital a first priority is to better tune bank, capital market and government financing to the needs of new innovative firms. This could be done through better small and medium-sized enterprises (SMEs) bond and loan securitisation tools, reallocating public financing to early stage finance and making it easier for firms to access public innovation funding by shifting some funding from loans to grants for research and development (R&D) projects. Attracting more foreign capital and improving the regulatory framework to increase the return on investment would also help. This could be done by reducing regulatory barriers that hold back competition, improving the neutrality of the tax system, improving pricing signals and reforming insolvency laws.
    JEL: E22 G24 G28 O16 O38 O44 O47 O5
    Date: 2017–05–30
  16. By: Tran, Hien Thu; Carbonara, Emanuela; Santarelli, Enrico
    Abstract: In this paper we present an occupational choice model for entrepreneurs, in which, based on their individual skills and on the quality of their business, entrepreneurs can keep their original business, open a new business in the same or another sector along the current business (portfolio entrepreneur), shut it down to either start a new one (serial entrepreneur) or to turn to dependent employment. We test our theory using a 10-year panel dataset (2001 to 2010) of more than 4,000 Vietnamese manufacturing firms. We estimate an occupational choice model and a survival model and find that: (i) a greater endowment of human capital is associated with a higher likelihood to become a serial or a portfolio entrepreneur; (ii) A higher quality of the new business is associated to a higher likelihood of being habitual entrepreneurs. Particularly, high entrepreneurial skills together with a high-quality business positively influence the likelihood to be serial or portfolio; (iii) novice entrepreneurs with high entrepreneurial skill and a high-quality business are more likely to keep their business.
    Keywords: Portfolio entrepreneurship,serial entrepreneurship,occupational choice,industrial policy
    JEL: F02 L26 L53
    Date: 2017
  17. By: Alessia Lo Turco Author-X-Name-First: Alessia; Daniela Maggioni Author-X-Name-First: Daniela
    Abstract: We explore the role of local intra and extra-regional product-specific capabilities in foster ing the introduction of new products by firms active in the Turkish manufacturing sector. We model firmsÕ product additions to their product basket as dependent on extra and intra-regional knowledge. We find that regional "discoveries", that is newly introduced products never produced before in the region, are positively and significantly affected by external related knowledge spurring from foreign firms active in the same location as well as by firm internal capabilities. Technologically related intra-regional knowledge spillovers and extra-regional knowledge spilling from imported inputs do not play a relevant role. The former, however, matter when we extend the analysis to all new products introduced by firms, regardless of their previous presence in the regional production basket. We interpret this evidence as foreign affiliates bringing new and exclusive capabilities which are missing in the region where they locate, thus providing a stimulus for regional production diversification and upgrading. This hypothesis is validated by exploring the heterogeneous role of the different intra and extra-regional knowledge sources according to productsÕ complexity. Length:
    JEL: F11 F14 D22 D80 N30
    Date: 2017–06
  18. By: Felipe Berrutti (Universidad de la República (Uruguay). Facultad de Ciencias Económicas y de Administración. Instituto de Economía); Carlos Bianchi (Universidad de la República (Uruguay). Facultad de Ciencias Económicas y de Administración. Instituto de Economía)
    Abstract: Despite the recent research efforts and methodological improvements, empirical evidence on the additionality effects of public innovation programs shows heterogeneous results by firm, sector, country and type of innovation. This paper assesses input additionality of public funding on private innovative investment of Uruguayan firms by applying a longitudinal analysis from 2001 to 2012. During this period, there was a dramatic increase of public innovation funds. However, the number of innovative firms remains stable and the amount of public funding for innovation at firm level is still very low. In this context, previous innovation experience appears as the most significant determinant of access to public innovation support. Moreover, we find evidence of a moderate substitution effect between public and private funds. We analyzed heterogeneous effects according to type of innovation, finding significant effects only for innovation based on acquisition of artifacts (embodied). We conclude on the main challenges of the current policy mix in Uruguay, stressing the relevance of further research lines on behavioral additionality to contribute to improve policy results.
    Keywords: public funding; input additionality, innovation survey, Uruguay
    JEL: O3 O38 L2 H81
    Date: 2017–04
  19. By: Arkadiusz Œwiadek (University of Zielona Gora, Poland)
    Abstract: In the literature, there is a discussion on the importance of the spatial distans to the user in the context innovation activity. Although, most of this kind of studies concentrate on exporting enterprises and compare them to domestic ones. Exporting activity is very important for catching-up countries, because of technology transfer in its background. The aim of this paper is to determine whether the innovative activity in Poland’s industrial system is a consequence of close interactions (local and regional), or perhaps conditioned by the imperative of functioning on the national and international market? Main hypothesis was to claim that on the current development level of Poland, the relationship between the range of sales and innovation activities are different from those in the more developed countries. Empirical studies was created in 2006-2012 as a result of the systematic collection of questionnaires filled by industry enterprises in Poland from all regions (5209 correct fulfilled questionnaires). Methodical analysis was based on the theory of probability - probit modeling, because dependent variables were binary (0 or 1). Local and regional environment is not conducive to stimulating innovation activity, but national spatial is a sufficient space, but high intensity observed only when the company has been working on the international market. It means, that the industry maturity level in Poland is good enough for creating a domestic innovation environment. This kind of an aggregation level should be stimulating by the government innovation policy.
    Keywords: innovation, industry, system, country, sale range
    JEL: L52 O25 P51 O31 O32 O33
    Date: 2017–05
  20. By: Yair Tauman; Chang Zhao
    Date: 2017
  21. By: Barinova, Vera (Russian Presidential Academy of National Economy and Public Administration (RANEPA)); Zemtsov, Stepan (Russian Presidential Academy of National Economy and Public Administration (RANEPA)); Semenova, Roza (Russian Presidential Academy of National Economy and Public Administration (RANEPA))
    Abstract: In this paper, the main approaches to the construction of ratings of innovative development are analyzed, the experience of foreign ranking of countries and regions is considered. The analysis of Russian ratings is carried out and their applicability is estimated. Conclusions are drawn based on the results of a comparative analysis of Russian and foreign rankings.
    Date: 2017–03
  22. By: Yair Tauman; Yoram Weiss; Chang Zhao
    Date: 2017
  23. By: Zofia Grodek-Szostak (Cracow University of Economics); Janusz Nesterak (Cracow University of Economics); Malgorzata Luc (Jagiellonian University in Cracow)
    Abstract: Research background:.In the international literature we can find great examples of research in the field of innovation and technological cooperation boosting between companies. Confrontation of theory and empirical research shows that meaning of cooperation and geographical closeness for innovative activity as well as the quality and effectiveness of public support are still ambiguous. Public support of technological cooperation is connected with different components of innovative network, that shows the need of horizontal cooperation, what is legitimate in developed countries. Great example of that kind of international network is Enterprise Europe Network (EEN). Innovative cooperation and technology transfer infiltration always have been a subject of research, but still there are issues to investigate. Because of that reason, there was a research hypothesis created: international technology transfer performed among companies and other economic entities accelerates innovative processes and gives profits for both players. Purpose of the article: The purpose of this article is to show different aspects among cooperation and technology transfer and trial to evaluate its synergical impact on international innovative activity of companies. Methodology/methods: This paper illustrates theoretical and empirical research in the scope of many aspects of innovative cooperation and technology transfer. The empirical analysis focused on data from the Enterprise Europe Network in 2009-2015 and interviews with offices supporting companies in starting and performing of international technological cooperation. The presentation of spatial connections of technological cooperation was illustrated by the Gastner Newman’s amorphous (eumorphous) choropleth, created in the ArcMap 10.4.1 programme with the use of the quantile method. Findings: The article discusses the role of cooperation among network in the international technology transfer. A special analytical emphasis was put on the public networks supporting such cooperation. Specific knowledge and technology is very often out of reach for companies (especially SMEs) because of costs or limited access, and cooperation provides the opportunity to create new relations which can integrate ideas and knowledge, and in effect, lead to new ground-breaking innovations. There is also the significant element like public support for companies in the whole technology transfer process.
    Keywords: technology, support, cooperation, innovation, management
    JEL: O14 O11
    Date: 2017–05
  24. By: Elzbieta Skapska (Bialystok University of Technology)
    Abstract: The analysis of contemporary economies pursuing service based economies shows the issue concerning the innovation in services. It seems to be important from the standpoint of modifying the actions of enterprises and economies on competitive, local, national and international arenas. The economic practice and public activity prove there is a need for intelligent growth. It consists in the development of economy that is based on knowledge and innovation – the development which produces high added value. Thus, it is necessary to foster creative entrepreneurship that inclines towards the introduction of changes at the level of an enterprise which results in contributing to the creation of good economic condition in general. Research background: The article regards the issue of Podlaskie enterprises that tend to introduce innovation within the services of a higher level, understood as services, that creates added value from the point of view of service company managers. Purpose of the article: The aim of the article is to examine the opinions of managers from Podlaskie on innovation in services and whether the range of provided services is accepted by service receivers. Methodology/methods: The realization process of the assumed goal shall use the monograph and survey methods as well as analysis and synthesis. The survey is directed at managers of Polish companies in Podlaskie province. It regards factors that rule the inclination for the introduction of changes in service nature and its quality in the period of 1-3 years (stimulating and inhibitive). Findings & Value added: The research shows that the analyzed sub sector of services is an interesting area in the context of innovation in the micro scale and thus has potential for further study.
    Keywords: service enterprises, innovations in services, service manager, Podlaskie Province
    JEL: D11 D33 D70
    Date: 2017–05
  25. By: Alexander Grous
    Abstract: This paper presents research undertaken in Bizkaia in the Basque region that ‘peels the organisational layers’ to assess the management practices of 10 firms. These firms are drawn from the automotive, energy and aerospace clusters that have achieved international recognition, positioning Bizkaia as a prominent region for innovation and production. Firms were assessed using leading methodology developed by the LSE with McKinsey and Co that quantifies management practices and provides a comparison with comparable firms globally...
    JEL: R14 J01
    Date: 2017
  26. By: Maria Bernat (Opole Univeristy of Technology); Anna Bruska (Opole University); Anna Jasinska- Biliczak (Opole University of Technology)
    Abstract: SME’s play crucial role in economy’s development. In EU they make up 99% of all enterprises and are at the forefront of technological innovations (Kotler et al., 1999, pp. 139-140; EC 2013, p. 2; Jasinska-Biliczak, 2016, p. 30). Being the flywheel for economies (Soininen et. al., 2012, p. 614) are called “hidden champions” of 20th century. Over past few years Europe-wide analyses (Griffin, 2004, p. 424) have emphasised the importance of investing in SME’s. Taking into consideration that cultural environment is the background to decisions: social, managerial, development (Hofstede et al., 2011, p. 46), so innovations, knowledge, skills and competences as well as culture reinforce each other. Research is the attempt of pointing the cultural background role in the SME’s innovations and in the regional economy at the example of Opole Region. Results will contribute to stimulate, develop and adopt the policies at regional level, which aim regional dimension of SME’s growth and their cultural base. Methods of desk research were applied with fields research using in-depth interviews to achieve research purpose. Mapping as the interdisciplinary visualization technology permitted to clarify research results. The phenomenon of cultural background for innovations in SME’s was studied in regional dimension. Research allows to state that in analysed region, strongly settled in multicultural environment, cultural background turns out to be factor influencing innovations in SME’s. So regional authorities should take that finding into account when planning regional policy, especially focused on enterprises’ development. The use of cultural factor as strong side of the enterprise should be promoted as well as experiences based at the cultural backgrounds exchanged between SME’s in region. So integrated action plans may enhance the best practise spreading in region and contribute innovative growth in SME’s sector.
    Keywords: innovations in small and medium enterprises; SME’s growth; innovation; cultural background; SME’s regional dimension
    JEL: O31 O47 R11
    Date: 2017–05
  27. By: Marcin Sitek (Czestochowa University of Technology)
    Abstract: Research background: In this paper a short overview of the types of innovations and their innovative forms of investing in the real estate market, such as reverse mortgage, flipping, building for rent, system condo and crowdfunding was presented. Purpose of the article: The aim of the paper is to present risk factors in innovative activities in the real estate market and evaluation of their activity in this market. The study proposed the hypothesis that a specific level of development in the real estate market corresponds to a certain level of investment risk reflected by the rate of return. Methodology/methods: The questionnaire survey in the local real estate market participants (investors, employees in enterprises that provide services for the real estate market, external appraisers, real estate brokers and counsellors) was conducted for the purposes of evaluation of risk factors in the investment innovative activities. Findings: Analysis of the results of questionnaire survey supported the following thesis: (1) as an effect of a strong inflow of capital and disturbed balance between demand and supply, return rates represent the reaction to the previous market behaviours, (2)decline in the rates of return points to the increase in the investment risk in the real estate market. It was found that the particularly high contribution to the risk level is from market risk, which is little transparent in Poland and is characterized by high variability of the conditions of operation.
    Keywords: risk; investment risk; innovations; risk management
    JEL: E32 E44 F63 O12 O31
    Date: 2017–05
  28. By: Schiff, Maurice; Wang, Yanling
    Abstract: This paper examines the impact of North-South trade, education, governance and North-South distance, on technology diffusion and total factor productivity (TFP) growth in the South, focusing on LAC and East Asia over the 32 years before the Great Recession (1976-2007). Findings are: i) TFP rises with education, trade, governance (ETG) and imports’ R&D content, and falls with distance to the North; ii) an increase of LAC’s ETG to East Asia’s levels raises TFP by 165%, fully accounting for its TFP gap with East Asia; iii) the impact of the education gap equals the sum of the governance and openness gaps; and iv) South America’s loss of TFP relative to Mexico associated with its greater distance to US-Canada (both Europe and Japan) is 9.3 (0) percent.
    Keywords: Trade,Governance,Education,Distance,Technology Diffusion,Productivity growth
    JEL: F22 J61
    Date: 2017
  29. By: Marchese, Carla; Marsiglio, Simone; Privileggi, Fabio; Ramello, Giovanni B.
    Abstract: We show that, even in a framework in which monopolistic exploitation of patents does not occur, patents still give rise to serious drawbacks. We build on Weitzman’s (1998) recombinant growth model which provides a stylized but clear description of the formation of knowledge externalities. In our framework a benevolent government buys immediately new patents in a competitive market and releases their contents for free. We show that inefficiencies nevertheless arise and welfare can be improved by correcting the market price through a tax-subsidy scheme. We characterize the (asymptotic) steady state equilibrium, and some properties of the transitional path. We show that if certain conditions are met, then the economy will converge to its (asymptotic) balanced growth path, and along such a path growth will be independent of the policy parameter; conversely, transition dynamics are affected by the choice of the policy parameter. We then quantitatively analyze the effect of different policy interventions on welfare, and show that stricter tax (weaker appropriability) regimes lead to higher social welfare.
    Date: 2017–05
  30. By: Schrape, Jan-Felix
    Abstract: Over the last 20 years, open source development has become an integral part of the software industry and a key component of the innovation strategies of all major IT providers. Against this backdrop, this paper seeks to develop a systematic overview of open source communities and their socio-economic contexts. I begin with a reconstruction of the genesis of open source software projects and their changing relationships to established IT companies. This is followed by the identification of four ideal- typical variants of current open source projects that differ significantly in their modes of coordination and the degree of corporate involvement. Further, I examine why open source projects have mainly lost their subversive potential while, in contrast to former cases of collective invention, remaining viable beyond the emergence of predominant solutions and their commercial exploitation: In an industry that is characterized by very short innovation cycles, open source projects have proven to be important incubators for new product lines and branch-defining infrastructures. They do not compete against classical forms of production but instead complement and expand these.
    Date: 2017
  31. By: Agnieszka Rzepka (Lublin University of Technology); Andrzej J. Olak (The BronislawMarkiewicz State Higher School of Technology and Economics in Jaroslaw, Poland)
    Abstract: Each organization faces the challenge of operating in an environment that is unpredictable and turbulent. Emergence of business era caused that change had become a key feature that determines the economic environment of an enterprise. Market environment forces companies to seek strategic orientation that would allow them to use market opportunities and come to grips with growing customer demands. These goals can only be achieved by an organization that bears the hallmarks of agility. The purpose of this article is to analyze relationships between obtaining an ability to be innovative and agility attributes of an organization. The problem was analyzed on the basis of empirical research of an international character. The article points out that adopting by a company agility attributes translates into a better competitive position and a higher level of innovation. Innovation in an enterprise constitute an impulse to take new challenges, which perfectly fits into the paradigm of the organization’s agility. In turn, through innovation, companies become agile. The presented research confirms that there is a connection between having agility attributes by a company and obtaining by it a high level of innovation. Many authors also specify important role of IT system in introducing product innovations and innovation processes
    Keywords: innovation, agile, SME
    JEL: O30 M21 P42
    Date: 2017–05
  32. By: Ludmila Kozubikova (Tomas Bata University in Zlin); Gabriela Sopkova (University of Economics in Bratislava); Vladimir Krajcik (Pan-European University); Ladislav Tyll (University of Economics)
    Abstract: Research background: SME character determines that entrepreneur´s personality plays a significant role in their management. For this reason it is necessary to consider the personality as a whole including his/her motives for entrepreneurship. Purpose of the article: The aim of this article is to examine the relationship between entrepreneurial motives and innovativeness in the small and medium-sized enterprises (SMEs) sector in the Czech Republic. Methodology/methods: We have analyzed the data collected in 2015 from 1141 SMEs from 14 regions of the Czech Republic. For the purpose of this article we focused on the motives for doing business, which were analyzed on the part of the whole sample including two selected groups of respondents. The first group (330 respondents) consisted of entrepreneurs who featured money as the most important motive for starting up a business and the second group (251 respondents) consisted of entrepreneurs who featured mission as the main reason for starting up a business. Findings & Value added: We have revealed statistically significant differences in innovativeness between the entrepreneurs motivated by money and the entrepreneurs motivated by mission. Regardless of the entrepreneurial motives vast majority of entrepreneurs consider the innovativeness to be important for their company.
    Keywords: entrepreneurial motives, innovativeness, proactiveness, mission, money
    JEL: L26
    Date: 2017–05

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