|
on Small Business Management |
|
Issue of 2011‒08‒29
three papers chosen by Joao Carlos Correia Leitao University of Beira Interior and Technical University of Lisbon |
| By: | Schimke, Antje; Brenner, Thomas |
| Abstract: | This paper examines the time structure of the effects of R&D activities on firm growth. The main questions are whether R&D activities come together with firms' growth in the subsequent periods and how this relationship depends on other characteristics of the firms, such as size and industry. In addition, we study the relationship between R&D effects and the autocorrelation dynamics of firm growth. We use firm level data of 1000 European companies with details on R&D investments in 2003 to 2006. A regression approach is applied with a linear model taking into account R&D activities at points in time and autocorrelation dynamics of firm growth. We find that R&D has, on average, a positive effect on firm growth, but the effect and its temporal structure strongly depends on firm size and industry. -- |
| Keywords: | Firm growth,R&D activities,firm size,industry,autocorrelation,time gap,temporal structure |
| Date: | 2011 |
| URL: | http://d.repec.org/n?u=RePEc:zbw:kitwps:32&r=sbm |
| By: | C. Fritz Foley; William R. Kerr |
| Abstract: | This paper studies the impact that immigrant innovators have on the global activities of U.S. firms by analyzing detailed data on patent applications and on the operations of the foreign affiliates of U.S. multinational firms. The results indicate that increases in the share of a firm's innovation performed by inventors of a particular ethnicity are associated with increases in the share of that firm's affiliate activity in their native countries. Ethnic innovators also appear to facilitate the disintegration of innovative activity across borders and to allow U.S. multinationals to form new affiliates abroad without the support of local joint venture partners. Thus, this paper points out that immigration can enhance the competitiveness of multinational firms. |
| JEL: | F22 F23 J44 J61 O31 O32 O33 O57 |
| Date: | 2011–08 |
| URL: | http://d.repec.org/n?u=RePEc:nbr:nberwo:17336&r=sbm |
| By: | ITO Keiko |
| Abstract: | This paper examines whether and how the entry of foreign multinational firms affects productivity growth of domestically owned firms, using Japanese firm-level data for the period 2000-2007. Although there are a considerable number of studies conducting productivity analyses on foreign multinationals and domestic firms for the manufacturing sector, there are few such studies for the service sector. Against this background, the present paper focuses on the role of foreign entry in the service sector, where cross-border trade is often difficult and firms are therefore less likely to be exposed to international competition.<br />The results of the analysis suggest that foreign multinationals perform better than domestically owned firms in many sectors. However, although the productivity levels of the former tend to be higher than those of the latter, no significant difference in productivity growth rates is found. Moreover, once firm-fixed effects are controlled for, foreign presence in a particular industry tends to negatively affect the productivity growth rate of domestically owned firms in the industry. However, firms that are catching up with the productivity frontier enjoy positive FDI spillovers, implying that foreign entry accelerates productivity catch-up. |
| Date: | 2011–08 |
| URL: | http://d.repec.org/n?u=RePEc:eti:dpaper:11063&r=sbm |