nep-knm New Economics Papers
on Knowledge Management and Knowledge Economy
Issue of 2015‒02‒28
sixteen papers chosen by
Laura Ştefănescu
Centrul European de Studii Manageriale în Administrarea Afacerilor

  1. Proximity, knowledge base and the innovation process: The case of Unilever’s Becel diet margarine By Mila Davids ; Koen Frenken
  2. Dynamics in ICT cooperation networks in selected German ICT clusters By Christian Schröder
  3. Motivating innovation in a knowledge economy with tax incentives By Diego d'Andria ; Ivan Savin
  4. Simulating micro behaviours and structural properties of knowledge networks: toward a “one size fits one” cluster policy By Joan Crespo ; Frédéric Amblard ; Jérôme Vicente
  5. The Development of Knowledge in Portugal: A Slow and Unsustainable Progress By Chagas Lopes, Margarida
  6. The returns to foreign R&D By Belderbos R.A. ; Lokshin B. ; Sadowski B.
  7. When are recruited competences supportive of innovation? Inter-industry differences in the importance of similarity and diversity By Sverre J. Herstad ; Tore Sandven
  8. Research clusters: How public subsidies matter?. By Marie-Laure Cabon-Dhersin ; Emmanuelle Taugourdeau
  9. The Challenge of Combinatorial Knowledge Dynamics to Study of Institutions, Towards an Actor-centric Bottom-up View of Institutions By Sotarauta, Markku
  10. Collaboration and Innovation Speed : Evidence from a Prize Data-Set, 1955-2010 By Shimizu, Hiroshi ; Hoshino, Yusuke
  11. An Intangible-Intensive Profile Of Companies: Protection During The Economic Crisis 2008-2009 By Elena Shakina ; Angel Barajas
  12. An Empirical Study of the Conditions for Successful Knowledge Transfer in Training Programs By Mikami, Satoru ; Furukawa, Mitsuaki
  13. Investigating the impact of small versus large firms on economic performance of countries and industries By Albiol, Judit ; Stel, André van
  14. ICT Modernization in Central and Eastern Europe By Stanislaw Kubielas ; Magdalena Olender-Skorek
  15. Academic Spinoffs New Venture Teams and Performance: Insights from Faultline Theory By Cyrine Ben-­-Hafaïedh ; Alessandra Micozzi ; Pierpaolo Pattitoni
  16. Educational Mismatch and Firm Productivity: Do Skills, Technology and Uncertainty Matter? By Benoît Mahy ; François Rycx ; Guillaume Vermeylen

  1. By: Mila Davids ; Koen Frenken
    Abstract: The proximity concept refers to types of inter-organizational relationships that are expected to facilitate interactive learning and collaborative innovation. Different forms of proximity include geographical, cognitive, social, institutional and organizational proximity. Following an extensive case study of a new diet margarine developed by Unilever, we extent the proximity framework by theorizing how the relative importance of each proximity dimension depends on the type of knowledge being produced, where we distinguish between analytical, synthetic and symbolic knowledge. We argue that our theoretical framework in principle applies to product innovations in all science-based industries.
    Date: 2015–02
  2. By: Christian Schröder (Europäisches Institut für Internationale Wirtschaftsbeziehungen (EIIW) )
    Abstract: High innovation capability is indispensable for generating economic growth in developed economies. Cooperations in the innovation process are entered into by companies for reasons of risk diversification or costs and often considered to be an efficient strategy to increase a company’s knowledge basis. Regional economic literature very often believes that regional agglomeration of companies, i.e. cluster formation, will also lead to increased local networking, i.e. also to cooperations between companies or between company and research institutes in the innovation process. A social network analysis of the two German ICT regions performed with patent data was able to show that cluster formation coincides with a dynamic increase of cooperations measured by joint patent applications. However, the cooperations are characterized by integration of extra-regional companies and research institutes rather than being intraregional.
    Keywords: Regional science, Cluster, ICT, Knowledge spillover, Social network analysis, Innovation networks
    JEL: L10 O18 L63 L86
    Date: 2013–08
  3. By: Diego d'Andria (Graduate College "Economics of Innovative Change", Friedrich Schiller University and Max Planck Institute of Economics, Jena ); Ivan Savin (Graduate College "Economics of Innovative Change", Friedrich Schiller University and Max Planck Institute of Economics, Jena )
    Abstract: In the past decades the role of profit sharing schemes (PSS) as a way to foster innovation in a principal-agent context, and more generally of innovation in economic growth, have been widely acknowledged and studied. However, surprisingly little has been done to analyze the interactions between tax policy, PSS and innovative activity, not least because of severe data limitations. In this study we propose an agent-based model to explore the effects of two distinct tax policies on innovation in a pure knowledge economy: a 'patent box' incentive and a tax incentive on compensation earned by agents as PSS. A distinct feature of this paper is that in contrast to the conventional assumption that firms (principals) decide on whether to innovate or not, we propose that this decision is actually taken by their employees (agents). We compare the two tax incentives under several distinct specifications and find that the tax incentive on PSS is more efficient than a 'patent box' incentive when the role of capital investments in R&D is negligible. With R&D investments in the form of a capacity constraint, both tax incentives are found to play a role in fostering innovation. In addition we find important effects on the incentives' rela- tive efficacy due to labor mobility and due to the ability of firms to benefit from knowledge spillovers.
    Keywords: agent-based model, innovation, knowledge economy, profit sharing schemes, tax incentives for R&D
    JEL: H2 O3 J33
    Date: 2015–02–20
  4. By: Joan Crespo ; Frédéric Amblard ; Jérôme Vicente
    Abstract: The economic return of cluster policies has been recently called into question. Essentially based on a “one size fits all” approach consisting in boosting R&D collaborations and reinforcing network density in regions, cluster policies are suspected to have failed in reaching their objectives. The paper proposes to go back to the micro foundations of clusters in order to disentangle the links between the long run performance of clusters and their structural properties. We use a simple agent-based model to shed light on how individual motives to shape knowledge relationships can give rise to emerging structures with different properties, which imply different innovation and renewal capabilities. The simulation results are discussed in a micro-macro perspective, and the findings suggest reorienting cluster policy guidelines towards more targeted public-funded incentives for R&D collaboration.
    Keywords: cluster policy, networks, micro-behaviours, structural properties, agent-based model
    JEL: B52 O32 R12 Z13
    Date: 2015–02
  5. By: Chagas Lopes, Margarida
    Abstract: Abstract Development of knowledge in Portugal occurred late and slowly, mainly as a result of political and institutional factors which persisted with democracy. Amongst knowledge key areas, education, research and development (R&D) and innovation advanced with frequent setbacks. This irregular behaviour induced very negative economic and social consequences given the spillover and multiplier effects arising from those areas. Significant progress took place at the onset of the 21st century, despite the lack of a systematic knowledge strategy that would guarantee consistent articulation between key areas and stakeholders. Important imbalances have thus been taking place which severely challenge knowledge regulation process, in which public policies have played an essential role. However, despite the ratification of EU Strategy 2020, Portuguese Government has drastically been diminishing support to education and R&D over the last years, as a consequence of the austerity programme, thereby leading, with other factors, to the now visibly regression in the development of knowledge.
    Keywords: Key Words: knowledge enhancement; Portugal; education, R&D, innovation; knowledge as a mixed good; knowledge strategy; private knowledge; public policies; pro-cyclic public interventions; Strategy 2020.
    JEL: O1 O2 O3
    Date: 2014–07–10
  6. By: Belderbos R.A. ; Lokshin B. ; Sadowski B. (GSBE )
    Abstract: Extant research on RD internationalization has not examined how effective foreign RD investments are in generating positive returns for the investing firms, in particular in comparison and conjunction with the effects of domestic RD investments. We examine the effectiveness of international knowledge sourcing through foreign RD in an empirical analysis of the productivity effects of foreign and domestic RD investments in a large panel of firms based in the Netherlands. We argue that foreign and domestic RD will exhibit complementarity in their effects on productivity, but that the roles of domestic and foreign RD depend on the relative position of the home country with respect to the global technology frontier and the related relative opportunities for knowledge sourcing abroad. We estimate a dynamic panel data model derived from a knowledge stock augmented production function framework allowing for productivity convergence and declining returns to RD. We confirm that for firms active in industries in which the home country is behind the global technology frontier, foreign RD provides positive returns and has a complementary relationship with domestic RD. For industries at the global technology frontier, in contrast, domestic RD is the primary source of productivity growth.
    Keywords: Production; Cost; Capital; Capital, Total Factor, and Multifactor Productivity; Capacity; Management of Technological Innovation and R&D; Technological Change: Choices and Consequences; Diffusion Processes;
    JEL: O32 O33 D24
    Date: 2015
  7. By: Sverre J. Herstad ; Tore Sandven
    Abstract: Building on recent evolutionary thinking, this paper links the present innovation performance of Norwegian firms to their past aggregate inflows of experienced employees through the labor market. In the upper part of OECDs technology intensity classification, firms strengthen their capacity to generate novelty sales by recruiting from within their own sector domains. By contrast, this form of recruitment is negatively associated with performance in low-tech industries. Aggregate inflows from related industries is generally supportive of performance, while inflows from prior employment in the research system is not. This underscores the dependence of industrial innovation on specialized competences and work practices that originate in the domain of industry itself; and, thus, the interdependencies between firms and larger industrial agglomerations.
    Keywords: Labor mobility, related variety, knowledge integration, innovation, Norway
    JEL: J24 O31 O34
    Date: 2015–02
  8. By: Marie-Laure Cabon-Dhersin (CREAM - Université de Rouen ); Emmanuelle Taugourdeau (Centre d'Economie de la Sorbonne - Paris School of Economics )
    Abstract: This paper investigates the factors underlying the emergence of Research Cluster (RC), i.e. cooperation (or coordination of research efforts) through spatial proximity between public and private research teams. A ‘public lab’ and a ‘private lab’ interact in a two-stage game to decide on ‘location’ and ‘research effort’. A high level of public subsidies associated to a low asymmetry in the ‘valorisation capability’ between both labs is necessary for the formation of a cluster. We find that RC performs better than non-cooperation in terms of research efforts in a ‘public lab’ (but not in a ‘private lab’) and output gains that can be appropriated by each lab.
    Keywords: Research cooperation, spatial location, public subsidy.
    JEL: C7 H2 H4 L3 L5 O3
    Date: 2015–02
  9. By: Sotarauta, Markku (University of Tampere, School of Management )
    Abstract: This paper argues that obstruction of agency, intention and interest is a weakness in institutional studies in geography. There is a need to systematically anchor a role for agency in institutionally oriented combinatorial knowledge dynamics studies, and thus to reach beyond snapshots of top-down institutions, and to produce a more nuanced view on institutions bottom up. Without in-depth studies on how actors perceive institutions, reflect upon them and either comply with them or aim to push for institutional change, it may impossible to fully understand the true impact of them. The aim here is to construct a link between agency and institutions in the context of combinatorial knowledge dynamics. To elaborate the conceptual link between institutions and combinatorial knowledge dynamics, this paper discusses three intertwined theoretical lenses. First, a conceptual distinction between cumulative and combinatorial knowledge dynamics is introduced; second, the basic tenets of institutions in regional economic development are discussed; and, third, a conceptual framework to study institutions in the context of combinatorial knowledge dynamics is constructed. The main scientific motivation here is to open a bottom-up view on institutions by linking them to the combinatorial knowledge dynamics approach by using agency as an intermediating framework.
    Keywords: Institution; agency; knowledge base; combinatorial knowledge; institutional entrepreneurship
    JEL: B52 O30 O38 O43 R11 R50
    Date: 2015–02–08
  10. By: Shimizu, Hiroshi ; Hoshino, Yusuke
    Abstract: The anecdotal evidence has indicated that inter-organizational collaboration increases R&D productivity by providing access to outside complimentary assets for firms. Focusing on the length of time from launching R&D project to realizing its R&D outcomes, we call it innovation speed, this paper examines a prize data-set on industrial technology, including 434 award-winning R&D projects, and empirically examines the relationship between inter-organizational collaboration and innovation speed and explores how the relationship varies across different types of collaborations. After controlling time periods, technological areas, prize categories, and collaboration types, the data reveal that inter-organizational collaboration among non-business group firms is associated with shorter innovation speed. The curtailed time periods vary from 19.9% to 32.2% according to the models. However, such accelerated time periods are not observed in other collaboration types such as inter-firm collaboration and firm-academic collaboration.
    Date: 2015–01
  11. By: Elena Shakina (National Research University Higher School of Economics ); Angel Barajas (National Research University Higher School of Economics )
    Abstract: This study explores the successful strategies of companies during the 2008-2009 economic crisis. We investigate whether it is reasonable for companies to intensify intangibles when markets fall. This paper aims to find empirical evidence that companies with a clear intangible-intensive profile are likely to outperform those without a strategy. The results established in this study shed some light on the global economic crisis in 2008-2009. More than 1600 European companies were involved in the empirical analysis. The findings of this study demonstrate that companies with a conservative profile in intangibles outperform moderate and innovative ones. Still an innovative profile enables a faster recovery after a crisis
    Keywords: economic crisis 2008-2009, strategic profile, intangible-intensive company
    JEL: O30 G30
    Date: 2014
  12. By: Mikami, Satoru ; Furukawa, Mitsuaki
    Abstract: The shortage of qualified human capital is a major impediment to development. In the field of international development cooperation, training programs (TPs) have been widely employed to enhance the capacity of workforces in developing countries. This paper investigates the conditions in which TPs can contribute not only to individual human resource development but also to organization-level reform and innovation in developing countries. Regression analyses of TP monitoring records as well as follow-up e-mail interviews with former participants of ICT training programs sponsored by Japanese International Cooperation Agency reveal that bilateral communication between training participants and the dispatch organizations during the training plays a key role in increasing the probability of successful organization-level transfer of individual-level learning, irrespective of the original level of organization’s absorptive capacity.
    Keywords: human raining and dialogue programs , human resource development , absorptive capacity , development aid , transfer of training
  13. By: Albiol, Judit ; Stel, André van
    Abstract: Following earlier work by Audretsch et al. (2002), we assume that an optimal size-class structure exists, in terms of achieving maximal economic growth rates. Such an optimal structure is likely to exist as economies need a balance between the core competences of large firms (such as exploitation of economies of scale) and those of smaller firms (such as flexibility and exploration of new ideas). Accordingly, changes in size-class structure (i.e., changes in the relative shares in economic activity accounted for by micro, small, medium-sized and large firms) may affect macro-economic growth. Using a unique data base of the EU-27 countries for the period 2002-2008 for five broad sectors of economic activity and four size-classes, we find empirical support which suggests that, on average for these countries over this period, the share of micro and large firms may have been ‘above optimum’ (particularly in lower income EU countries) whereas the share of medium-sized firms may have been ‘below optimum’ (particularly in higher income EU countries). This evidence suggests that the transition from a ‘managed’ to an ‘entrepreneurial’ economy (Audretsch and Thurik, 2001) has not been completed yet in all countries of the EU-27. Keywords: small firms, large firms, size-classes, macro-economic performance
    Keywords: Empreses -- Dimensió, Empreses petites i mitjanes, Grans empreses, 338 - Situació econòmica. Política econòmica. Gestió, control i planificació de l'economia. Producció. Serveis. Turisme. Preus,
    Date: 2015
  14. By: Stanislaw Kubielas (Europäisches Institut für Internationale Wirtschaftsbeziehungen (EIIW) ); Magdalena Olender-Skorek (Europäisches Institut für Internationale Wirtschaftsbeziehungen (EIIW) )
    Abstract: The paper characterizes main trends in ICT implementation and diffusion in the CEE countries in terms of market volume, its dynamics, economic development and ICT trade integration within the EU market. This gives support to the hypothesis of gradual closing up of technology gap in ICT sector between the CEE and the ‘old’ EU countries in the course of the ongoing process of integration and catching up. The second part of the paper delivers a detailed account of the modernization level achieved in Poland and other CEE countries in particular ICT segments and score rankings as against other EU countries. The focus is on the relationship between NRI index, as a measure of ICT development, and GDP per capita, competitiveness and productivity. Finally, the level of ICT services in CEE is assessed, in particular, in the area of broadband, mobile telecommunication, and e-services.
    Keywords: Innovation, Telecommunication, EU, CEE, Convergence ICT, RCA in ICT Trade, Internet, Technology Gap, Knowledge Diffusion, Regulation
    JEL: F14 F15 L63 L86 L96 N14 O31 O33 P27
    Date: 2014–05
  15. By: Cyrine Ben-­-Hafaïedh (IÉSEG School of Management,France ); Alessandra Micozzi (Università Politecnica delle Marche, Italy ); Pierpaolo Pattitoni (University of Bologna, Italy )
    Abstract: Academic spin-offs (ASOs) are particular new technology-based firms (NTBFs) originating from public or university-based research institutions. One of their major challenges is to integrate scientific knowledge with the commercial knowledge in the entrepreneurial team (ET). The effect of ET composition on ASO performance has generally been examined through human capital theory or upper echelons theory. These traditional approaches have their merits and generally conclude to the necessity to add surrogate (external) entrepreneurs to the core team of academics. However, this would create a faultline, i.e. a divide between these two subgroups that negatively impacts team processes, and might explain why these artificially created ETs are not as successful as expected. We argue that a combination of these different lenses on ET composition and its relationship with performance may lead to a better understanding. Drawing on the human capital and upper echelons theories on the one hand and on the faultline theory on the other, we develop interaction hypotheses to test for their combined effect on a sample of 172 Italian ASOs. Our results permit to reveal the significant impact on performance of subtle compositional dimensions of the core academic ET that would have otherwise gone unnoticed. They also allow us to stress the importance of cognitive distance optimizers and show how they contribute not only to prevent the negative effects of diversity but also to create the preconditions for the positive effects. Theoretical and practical implications are drawn and future avenues of research suggested.
    Keywords: Entrepreneurial teams; faultline theory; human capital theory; academic spin-offs;performance
    Date: 2015–02
  16. By: Benoît Mahy ; François Rycx ; Guillaume Vermeylen
    Abstract: The authors provide first evidence on whether the direct relationship between educational mismatch and firm productivity varies across working environments. Using detailed Belgian linked employer-employee panel data for 1999-2010, they find the existence of a significant, positive (negative) impact of over- (under-)education on firm productivity. Moreover, their results show that the effect of over-education on productivity is stronger among firms: (i) with a higher share of high-skilled jobs, (ii) belonging to high-tech/knowledge-intensive industries, and (iii) evolving in a more uncertain economic environment. Interaction effects between under-education and working environments are less clear-cut. However, economic uncertainty is systematically found to accentuate the detrimental effect of under-education on productivity.
    Keywords: Educational mismatch; productivity; linked employer-employee panel data; working environments
    JEL: J21 J24
    Date: 2015–02–25

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