nep-ino New Economics Papers
on Innovation
Issue of 2019‒05‒20
seven papers chosen by
Uwe Cantner
University of Jena

  1. "The race for innovation in the media and content industries: legacy players and newcomers. Lessons from the music and newspaper industries" By Pierre-Jean Benghozi; Elisa Salvador; Jean-Paul Simon
  2. R&D, innovation and productivity By Mohnen, Pierre
  3. The 'Distinctive Capacity': Managing the invention process by managing the prior art By Chipten Valibhay; Pascal Le Masson; Benoit Weil
  4. How internationalization and competitiveness contribute to get public support to innovation? The Portuguese case By Anabela Santos; Michele Cincera; Paulo Neto; Maria Manuel Serrano
  5. Firm Size and Innovation in the Service Sector By David B. Audretsch; Marian Hafenstein; Alexander S. Kritikos; Alexander Schiersch
  6. Working Paper 04-19 - Tax incentives for business R&D in Belgium - Third evaluation By Michel Dumont
  7. Domestic intellectual property rights protection and exports: Accessing the credit channel. By Ndubuisi, Gideon

  1. By: Pierre-Jean Benghozi (X-DEP-MIE - Département de Management de l'Innovation et Entreprenariat de l'École polytechnique - X - École polytechnique); Elisa Salvador (ESSCA School of Management, 55 quai Alphonse Le Gallo, 92513 Boulogne-Billancourt Cedex, France); Jean-Paul Simon
    Abstract: Cultural and creative industries (CCIs) are usually associated to "creativity" while high-tech industries are usually linked to "innovation". This distinction determines a sort of forgetfulness of the fact that also CCIs rely always on various series of updated technologies. As a consequence, the issue of innovation in CCIs is seldom dealt with. Nonetheless, one can wonder how do these industries really innovate and how they compete with powerful new competitors from the information technology (IT) world. This is the aim of this article focused on the music recording and the newspaper publishing industries. It explores how these industries are coping with subsequent waves of technologies. Recent findings provide a fresh understanding of the place and the very nature of innovation in these industries that, in fact, do not boil down to simply creating new contents. Instead, economic dynamics have recently been opened showing that CCIs are based on regular capacity for innovations which are nevertheless deployed in very different ways. The paper blends a general outlook that sets the scene of the transformations each industry went through with some selected case studies so as to highlight some innovative elements in every subsector. These case studies are followed by an analysis of the new players that build their position from technical intermediation functions. It reveals how "intermediaries"
    Keywords: creative industries,music industry,new middlemen,publishing industry,intermediaries,R&D and innovation
    Date: 2018
  2. By: Mohnen, Pierre (UNU-MERIT, and SBE, Maastricht University)
    Abstract: This paper reviews various technological indicators from innovation inputs to innovation outputs, pointing out their strengths and weaknesses and the consequent caution that is in order when using these data for economic analysis. It briefly explains the theoretical link between innovation and productivity growth and then compares the estimated magnitudes of that relationship using the different innovation indicators.
    Keywords: innovation, productivity, indicators
    JEL: D24 O31 O33 O47
    Date: 2019–05–06
  3. By: Chipten Valibhay (CGS i3 - Centre de Gestion Scientifique i3 - MINES ParisTech - École nationale supérieure des mines de Paris - PSL - PSL Research University - CNRS - Centre National de la Recherche Scientifique); Pascal Le Masson (CGS i3 - Centre de Gestion Scientifique i3 - MINES ParisTech - École nationale supérieure des mines de Paris - PSL - PSL Research University - CNRS - Centre National de la Recherche Scientifique); Benoit Weil (CGS i3 - Centre de Gestion Scientifique i3 - MINES ParisTech - École nationale supérieure des mines de Paris - PSL - PSL Research University - CNRS - Centre National de la Recherche Scientifique)
    Abstract: While patents are recognized as a key resource to sustain innovation activities, patenting activities are mainly conceptualized as protective means quite unrelated to innovation issues. By conducting an exploratory case study of French IP advisor, this paper identifies four unusual patent practices oriented towards a strategic management of the inventive capacity of a firm. These practices offer the opportunity to introduce a new capability of a firm, the 'distinctive capacity', which describes the ability of a firm to manage and organize the relationship between its inventions and the prior art articulated and structured based on strategical considerations (competitive environment, legal risks, technological choices). Building upon 'dynamic capabilities', we claim that the 'distinctive capacity' of a firm allows to better characterize the features of a specific knowledge management adapted to increasing a firm's inventive capacity.
    Date: 2019–06–10
  4. By: Anabela Santos; Michele Cincera; Paulo Neto; Maria Manuel Serrano
    Abstract: A wide range of empirical studies have analyzed which firm characteristics influence government evaluators on the decision to select specific firms for participating in Research and Development and Innovation subsidy programs. However, few authors have provided a precise analysis about the selection process of submitted applications for a public support. The aim of the present paper is to assess the effectiveness in the selection process and to understand which kind of projects are selected for being subsidized. The analysis is focused on the case study of applications submitted to the Portuguese Innovation Incentive System (SI Innovation) between 2007 and 2013. Once the selection criterion for accessing to this program is essentially based on competitiveness, namely in terms of internationalization and productivity, special attention was given on assessing the determinants of selection process regarding to these topics. Using a counterfactual analysis and Propensity Score Matching estimators, results show that the selection process to SI Innovation is more focused on expecting an increase of the internationalization and productivity of firms than in the efficiency of public expenditures and firm innovativeness. The conclusions of this paper could be useful for policy makers, once it identifies some failures in selection process, which according to other authors, could explain some disappointing results of public intervention in this field.
    Keywords: Subsidy, Innovation, Internationalization, Competitiveness, Propensity Score Matching
    JEL: O38 O31
    Date: 2019–05
  5. By: David B. Audretsch (Indiana University Bloomington); Marian Hafenstein (German Institute for Economic Research (DIW Berlin)); Alexander S. Kritikos (German Institute for Economic Research (DIW Berlin), University of Potsdam, IZA (Bonn), IAB (Nuremberg)); Alexander Schiersch (German Institute for Economic Research (DIW Berlin))
    Abstract: A rich literature links knowledge inputs with innovative outputs. However, most of what is known is restricted to manufacturing. This paper analyzes whether the three aspects involving innovative activity - R&D; innovative output; and productivity - hold for knowledge intensive services. Combining the models of Crepon et al. (1998) and of Ackerberg et al. (2015), allows for causal interpretation of the relationship between innovation output and labor productivity. We find that knowledge intensive services benefit from innovation activities in the sense that these activities causally increase their labor productivity. Moreover, the firm size advantage found for manufacturing in previous studies nearly disappears for knowledge intensive services.
    Keywords: MSMEs, R&D, Service Sector, Innovation, Productivity, Entrepreneurship
    JEL: L25 L60 L80 O31 O33
    Date: 2019–05
  6. By: Michel Dumont
    Abstract: Belgium has committed to raise investment in research and development (R&D) to 3% of GDP by 2020. In fulfilment of this commitment, the federal government introduced different tax incentives in support of business R&D. This paper presents the results of the third evaluation of the efficiency of these tax incentives, covering the period 2003-2015.
    Keywords: R&D
    JEL: H32 O32 O38
    Date: 2019–04–29
  7. By: Ndubuisi, Gideon (UNU-MERIT)
    Abstract: Recent studies on the export effects of domestic intellectual property rights protection focus on the innovation, border and technology transfer channels to underscore the pathways by which effective domestic IPRs protection influences own country's export. I extend this literature by arguing that another pathway domestic IPRs protection affects own country's export is via the credit channel i.e. firms access to external finance. Among many others, this occurs because effective domestic IPRs protection creates a scenario wherein exporters can use their intellectual properties in the same way they use tangible assets as collateral in order to overcome the huge variable and upfront fixed costs they face. To underscore this pathway, I evaluate the export effect of domestic IPRs protection within the comparative model framework and find empirical evidence for my hypothesis, with the results indicating that countries with more effective IPRs protection export more from sectors that depend more on external finance and that have more intangible assets.
    Keywords: Intellectual Property Rights, Exports, Access to Finance
    JEL: F10 F13 F14 F36 O33 O34
    Date: 2019–05–06

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