nep-knm New Economics Papers
on Knowledge Management and Knowledge Economy
Issue of 2012‒09‒09
three papers chosen by
Laura Stefanescu
European Research Centre of Managerial Studies in Business Administration

  1. Organizational Innovation and its Link with Technological Innovation in SMEs: Empirical Evidence for Lower Normandy – France By Khadidja Benallou; Jean Bonnet; Mohammad Movahedi
  2. R&D Subsidies, International Knowledge Dispersion, and Fully Endogenous Productivity Growth By Colin Davis; Ken-ichi Hashimoto
  3. Strategic interactions in public R&D across EU-15 countries: A spatial econometric analysis By Hakim Hammadou; Sonia Paty; Maria Savona

  1. By: Khadidja Benallou (Phd student - UFR de sciences économiques et de gestion, Université de Caen Basse-Normandie, CREM-CNRS, UMR 6211); Jean Bonnet (UFR de sciences économiques et de gestion, University of Caen Basse-Normandie - CREM-CNRS, France); Mohammad Movahedi (Phd student - UFR de sciences économiques et de gestion, Université de Caen Basse-Normandie, CREM-CNRS, UMR 6211)
    Abstract: In the present study, we define synthetic and relevant indicators of organizational innovation and measure the link of these indicators with various types of technological innovations (product innovation, process innovation, and hybrid innovations). They are constructed from sixteen variables reflecting organizational innovation with the aid of multiple correspondence analysis (MCA) method. The variables are grouped in five categories corresponding to different aspects of organizational changes, such as training & qualification, knowledge management, production management, quality, and market transaction. We then use a regression to estimate the link between organizational innovation indicators and technological innovations (product, process and their interaction). The original database exploited is part of the IDEIS project and relates to a representative sample of 90 SMEs in Lower Normandy - France. Our estimated indicators interpret the Intensity of the implementation of the Organizational Changes (IOC) and the orientation of the Organizational Innovation Strategies adopted (OIS). We find a positive and significant link between IOC and technological innovation (product innovation, process innovation, and hybrid innovations), particularly so for product innovation. However, we find no clear link between the choice of the OIS and technological innovation.
    Keywords: Indicators of organizational innovation, product and process innovation, innovation strategy, quality of human resources, training.
    JEL: D23 O33 C81 C2
    Date: 2012–07
    URL: http://d.repec.org/n?u=RePEc:tut:cremwp:201229&r=knm
  2. By: Colin Davis (The Institute for the Liberal Arts, Doshisha University); Ken-ichi Hashimoto (Graduate School of Economics, Kobe University)
    Abstract: This paper develops a two country model to investigate the effects of national R&D subsidies on aggregate product variety and endogenous productivity growth without scale effects. In particular, monopolistically competitive firms invest in process innovation with the aim of lowering production costs. With imperfect knowledge dispersion, the larger of the two countries has a larger share of firms and a greater level of productivity. The higher concentration of relatively productive firms increases the size of knowledge flows between firms, leading to an increase in firm-level employment in innovation. As a result, an economy with asymmetric countries produces a faster rate of growth than one with countries of similar size. The larger scale of firm-level innovation activity reduces market entry, however, and overall product variety falls. Using this framework, we find that a national R&D subsidy has a positive effect on the industry share, relative productivity, and wage rate of the implementing country. Moreover, if the smaller country introduces an R&D subsidy, overall product variety rises but the rate of productivity growth falls. Alternatively, if the larger country introduces an R&D subsidy, the rate of productivity growth rises, but overall product variety may rise or fall. Finally, we briefly consider the effects of a national R&D subsidy on national and world welfare levels.
    Keywords: R&D Subsidy, Knowledge Dispersion, Productivity Growth, Scale Effect
    JEL: F43 O30 O40
    Date: 2012–08
    URL: http://d.repec.org/n?u=RePEc:koe:wpaper:1214&r=knm
  3. By: Hakim Hammadou; Sonia Paty; Maria Savona
    Abstract: The aim of this paper is to test the presence of strategic interactions in government spending on Research and Development (R&D) among EU-15 countries. We add to the literature on public choice strategic interactions in general, and to work on R&D spending in particular. We take account of traditional and some overlooked factors related to countries' public R&D spending, including (i) the international context -- i.e. Lisbon strategy; (ii) country characteristics - the National System of Innovation, and more specifically national similarities in relation to (a) trade and economic size and (b) sectoral specialization. Sectoral specialization is likely to affect government spending, depending on the mechanisms of complementarity or substitution between public and private R&D. Using a spatial dynamic panel model in which spatial matrices are specified both in terms of traditional Euclidean distance, and sectoral specialization proximity, we confirm the existence of strategic interactions on R&D spending among European countries with similar economic size, international trade and sectoral structure. Unlike the results emerging from the literature on strategic interactions in public choice, geographic proximity seems not to affect interactions related to public spending on R&D.
    Keywords: Public spending strategic interactions, Public R&D expenditures, National Systems of Innovation, Complementarity public and private R&D, Spatial interactions, EU countries, spatial dynamic panel data
    Date: 2012–08–27
    URL: http://d.repec.org/n?u=RePEc:ssa:lemwps:2012/14&r=knm

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