nep-knm New Economics Papers
on Knowledge Management and Knowledge Economy
Issue of 2016‒04‒16
ten papers chosen by
Laura Ştefănescu
Centrul European de Studii Manageriale în Administrarea Afacerilor

  1. To What Extent the Adoption of Innovative Human Resource Practices Is Explained by Top Management Support in Chinese SMEs By Yiyang Sun; Foteini Kravariti
  2. Biophysical limits of current debates on degrowth and the knowledge economy By Jesus Ramos-Martin
  3. Localization of Collaborations in Knowledge Creation By Inoue, Hiroyasu; Nakajima, Kentaro; Saito, Yukiko Umeno
  4. Innovation Strategies Combining Internal and External Knowledge By Johansson, Börje; Lööf, Hans
  5. Taxation of Knowledge-Based Capital: Non-R&D Investments, Average Effective Tax Rates, Internal Vs. External KBC Development and Tax Limitations By Alessandro Modica; Thomas Neubig
  6. The Role of Information Technology in Enabling Open Innovation: Complementarity or Substitutability? By Reza Ghaffari; Benoit A. Aubert
  7. Capitale umano, innovazione tecnologica e divari economici nell’era post-knowledge? Un’analisi econometrica a livello sub nazionale By Lima, Rita
  8. Human Capital and Innovation in a Monetary Schumpeterian Growth Model By Angus C., Chu; Lei, Ning; Dongming, Zhu
  9. Knowledge leakage in the context of staff outflow - the case of small hotels in southern Poland By Najda-Janoszka, Marta; Wszendybył-Skulska, Ewa
  10. Innovation and Performance of Enterprises: The Case of SMEs in Vietnam By Vu, Hoang Nam; Doan, Quang Hung

  1. By: Yiyang Sun (The University of Manchester); Foteini Kravariti (The University of Manchester)
    Abstract: This study focuses on innovative human resource practices (HRPs) in SMEs. It investigates whether top management support influences the decision to adopt HRPs and the degree of their implementation under the umbrella of management innovation. A quantitative data analysis is utilised in order to explore this topic among 185 SMEs in China by testing research hypotheses stemming from existing literature conclusions. The results demonstrate that there is a positive relationship between top management support and key innovative HRPs. Additionally, top management support significantly contributes to the adoption of extensive training and development followed by pay based on performance appraisal, job security and sophisticated selection. Given that all research hypotheses are statistically confirmed, we conclude that top management support can be an influential factor with regard to the adoption of innovative HRPs in SMEs. Hence, we suggest that the management innovation perspective as a theoretical underpinning is beneficial in determining motivational factors which shape the types of innovative HRPs adopted, and thus have a potential impact on organizational performance.
    Keywords: HRM, innovative HRPs, management innovation, top management support, SMEs, Chinese SMEs
  2. By: Jesus Ramos-Martin (Facultad Latinoamericana de Ciencias Sociales, Ecuador)
    Abstract: New or revived concepts such as degrowth and the knowledge economy represent a necessary criticism to the conventional view on economic growth, especially in regard to their environmental criticism. Both ideas are related as degrowth needs the application of knowledge in order to be operationalised and both share as a desirable outcome the reduction of working time. However, both concepts also bear common flaws in their criticism, due to the lack of attention in their analysis of the biophysical side of the economic process that has been analysed in approaches such as societal metabolism. The document discusses these weaknesses with the aim of stirring the much needed debate on the limits to growth.
    Keywords: Degrowth, knowledge, sustainability, complexity, societal metabolism
    JEL: O11 O44 Q43 Q57
    Date: 2016–03
  3. By: Inoue, Hiroyasu; Nakajima, Kentaro; Saito, Yukiko Umeno
    Abstract: This study investigates the localization of collaboration in knowledge creation by using the data on Japanese patent applications. Applying distance-based methods, we obtained the following results. First, collaborations are significantly localized at the 5% level with a localization range of approximately 100 km. Second, the localization of collaboration is observed in most technologies. Third, the extent of localization was stable from 1986–2005 despite extensive developments in information and communications technology that facilitate communication between remote organizations. Fourth, the extent of localization is substantially greater in inter-firm collaborations than in intra-firm collaborations. Furthermore, in inter-firm collaborations, the extent of localization is greater in collaborations with small firms. This result suggests that geographic proximity mitigates the firm-border effects in collaborations, especially for small firms.
    Keywords: Knowledge creation, Collaboration, Geographic frictions, Firm-border effects
    JEL: R12 O31
    Date: 2016–03
  4. By: Johansson, Börje (Jönköping International Business School (JIBS), Centre of Excellence for Science and Innovation Studies (CESIS) & Royal Institute of Technology (KTH)); Lööf, Hans (Centre of Excellence for Science and Innovation Studies (CESIS) & Royal Institute of Technology (KTH))
    Abstract: We introduce a framework for analyzing renewal efforts of firms with distinct categories of innovation and adoption strategies, comprising a firm’s development off its internal knowledge, its access to local knowledge sources and its access to global knowledge sources. A fundamentall aspect is the formation and maintenance of the firm’s renewal capabilities. In this way the analysis provide an explanation of remaining heterogeneity among firms belonging to the same industry such that one group performs above average for long sequences of time, whereas others continue to pperform below average. The analysis applies Swedish data when presenting alternative approaches to provide empirical support in favour of the outlined model of how long-run firm performance associates with each firm’s sustained efforts to combine interal and external knowledge sources.
    Keywords: Adoption; Innovation; Innovation outcome; Knowledge sources and networks; Combined internal and external knowledge
    JEL: F21 O30 O31 R11
    Date: 2016–04–06
  5. By: Alessandro Modica; Thomas Neubig
    Abstract: This paper extends the tax analysis of knowledge-based capital (KBC) in several dimensions. The paper analyses non-R&D KBC: computer software, architectural and engineering designs, and economic competencies which account for over 70% of total KBC. The paper analyses the tax treatment of internally-developed KBC which is used in production by the developer versus KBC sold to third-party producers. The current tax rules generally favour internally-developed KBC, which disadvantages many SMEs and start-up companies specializing in innovation. The analysis reports two average effective tax rates (ETRs) depending on investors’ considerations of their investment opportunities. When KBC is unique, earns excess returns due to market power, or involves financing-constraints, ETRs are high despite immediate expensing. The paper also analyses the effects of tax limitations, where many SMEs and start-up companies can’t benefit from tax credits and deductions until having sufficient tax liability. L'imposition du capital intellectuel : Investissements non liés à la R-D, taux moyens effectifs d'imposition, développement interne/externe du capital intellectuel et restrictions fiscales Ce document prolonge l’analyse fiscale du capital intellectuel dans différents domaines. Il analyse le capital intellectuel non lié à la R-D : les logiciels informatiques, la conception architecturale et technique, et les compétences économiques qui représentent plus de 70 % du capital intellectuel total. Ce document examine le traitement fiscal du capital intellectuel développé en interne, qui est employé en production par le développeur, par rapport au capital intellectuel vendu à des producteurs tiers. Les règles fiscales actuelles favorisent généralement le capital intellectuel développé en interne, ce qui pénalise de nombreuses PME et jeunes entreprises qui se spécialisent dans l’innovation. L’analyse met en évidence deux taux moyens effectifs d’imposition (TMEI) en fonction de l’évaluation par les investisseurs des opportunités d’investissement. Lorsque le capital intellectuel est unique, génère un rendement excessif en raison de l’existence d’un pouvoir de marché ou implique des contraintes de financement, les TMEI sont élevés malgré une passation immédiate en charges. Ce document analyse également les conséquences des restrictions fiscales, sous l’effet desquelles de nombreuses PME et jeunes entreprises ne peuvent pas bénéficier de crédits et d’allégements d’impôts tant que le montant de leur impôt n’atteint pas un niveau suffisant.
    Date: 2016–03–10
  6. By: Reza Ghaffari; Benoit A. Aubert
    Abstract: This paper conceptualizes the role (complementarity or substitutability) of a set of IT-enabled capabilities in effectively facilitating inbound open innovation - the strategy to open up the organization’s internal innovation process to external ideas and partners. These IT-enabled capabilities have been argued to contribute significantly to innovation in organizations.
    Keywords: Innovation, Open innovation, Information Technology, IT capabilities,
    Date: 2016–04–08
  7. By: Lima, Rita
    Abstract: During the last forty years there was a broad consensus in the academic literature that human capital is an important determinant of productivity and other economic outcomes, both at the individual and at the aggregate level, and that its role was particularly crucial to reduce regional growth disparities. Nowadays, although the production and use of human capital is at the core of value-added activities, innovation is at the core of firms’ and nations’ strategies for economic growth in a new “post-knowledge” era. Bearing this evidence in mind and using recent GMM-SYS panel data procedures, this paper presents a dynamic specification for the period 1970-2009 in which we used as dependent variable a proxy of Italian cross-country disparities in economic performance (such as the gap in the annual percentage growth rate of GDP between Italian regions and Germany, the innovation leader country) and indicator of innovation activity (such as the ratio of public and private R&D expenditure to gross fixed investments) and human capital (such as the ratio of people graduated in science and technology subjects to active people aged 25-64) as predetermined and endogenous variables. The results reveal that the well known North-South duality in terms of human capital differentials is always important spillover in defining regional competitiveness and economic growth, but in a world where information is ubiquitous and knowledge is increasingly shared, those regions located in an economic periphery that experience lower returns to skill attainment and hence have reduced incentives for human capital investments and agglomerations (like Sicily) have to look for new sources of advantage (such as R&D) to gain a competitive edge.
    Keywords: Capitale Umano, R&S, Modello di regressione pooled, Stimatore GMM-SYS
    JEL: C1 C18 I25 O11 O30
    Date: 2016–04–06
  8. By: Angus C., Chu; Lei, Ning; Dongming, Zhu
    Abstract: This study explores the growth and welfare effects of monetary policy in a scale-invariant Schumpeterian growth model with endogenous human capital accumulation. We model money demand via a cash-in-advance (CIA) constraint on R&D investment. Our results can be summarized as follows. We find that an increase in the nominal interest rate leads to a decrease in R&D and human capital investment, which in turn reduces the long-run growth rates of technology and output. This result stands in stark contrast to the case of exogenous human capital accumulation in which the long-run growth rates of technology and output are independent of the nominal interest rate. Simulating the transitional dynamics, we find that the additional long-run growth effect under endogenous human capital accumulation amplifies the welfare effect of monetary policy. Decreasing the nominal interest rate from 10% to 0% leads to a welfare gain that is equivalent to a permanent increase in consumption of 2.82% (2.38%) under endogenous (exogenous) human capital accumulation.
    Keywords: monetary policy, economic growth, R&D, human capital
    JEL: E41 O3 O4
    Date: 2016–03
  9. By: Najda-Janoszka, Marta; Wszendybył-Skulska, Ewa
    Abstract: Paper explores the phenomenon of knowledge leakage in small family owned hotel business units. Empirical research was carried out in 2014 on a sample consisting of 53 family own hotels operating in Malopolska region of Poland. The findings from this study indicate that knowledge protection initiatives are not absent in small family owned hotels. Examined small family owned hotels have a relative awareness of the problem of knowledge leakage and knowledge implications of staff outflow. Obtained results confirm that those small firms are more engaged in knowledge protection activity when experiencing higher levels of staff outflow. Most commonly used mechanisms belong to operational and supporting technology areas of knowledge protection. Research findings confirm that examined hotels address the problem of high staff outflow with a more intensive use of mechanisms across all defined areas of knowledge protection. Paper contributes substantially to research advancement in the field of knowledge management in tourism industry by providing primary data concerning knowledge leakage routes together with deployment of knowledge protection measures by hotel business units.
    Keywords: knowledge, knowledge leakage, tourism, hotels, Poland, employee turnover
    JEL: L83 M51 M54 O34
    Date: 2015–08
  10. By: Vu, Hoang Nam; Doan, Quang Hung
    Abstract: Innovation is widely recognized as a key determinant of enterprise performance. It is, however, not clear how innovation affects performance of small-and-medium enterprises (SMEs) in transition economies. Based on data collected from surveys of SMEs in Vietnam from 2005 to 2011 this study shows that the human capital of owners/managers of SMEs, the quality of workers, and public physical infrastructure positively affect innovation and the performance of SMEs. More importantly, the study finds that innovation in products, production process, and marketing is a decisive factor for higher performance of SMEs in Vietnam.
    Keywords: Innovation, SMEs, Vietnam
    JEL: D22 J54 L11 L25 O3
    Date: 2015–01

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