Outsourcing: Volume and Composition of R&D

This paper examines the impact of the outsourcing of production on the volume and composition of the home country's research and development (R&D). We find that outsourcing decreases the process R&D of the multinational firm in large markets when it only conducts process R&D (the substitution effect between outsourcing and process R&D). Outsourcing tends to emerge as a complementary factor to product development when the multinational firm conducts both product R&D and process R&D (the complementary effect between outsourcing and product R&D) under some conditions. This implies that international outsourcing has a different effect on product innovation and process innovation.     

环境不确定性、研发管理与技术创新绩效间关系的实证分析

以组织学习理论为基础,利用1408家中国制造业企业的调研数据,实证分析了环境不确定性和研发管理对中国企业技术创新绩效的影响。结果显示:中国制造业企业面临的技术不确定性和市场环境不确定性对企业技术创新能力的提升具有促进作用;企业研发管理对上述关系具有正向调节作用,即注重研发投入、开展产学研合作以及实施知识产权管理会对处于不确定环境的企业的技术创新绩效产生积极的调节作用。因此,企业在面临不可预测的境况时应持续进行研发管理,以丰富企业的技术创新知识积累。     

Evidence on the impact of R&D and ICT investments on innovation and productivity in Italian firms

Both research and development (R&D) and information and communication technology (ICT) investment have been identified as sources of relative innovation underperformance in Europe vis-à-vis the USA. In this article, we investigate the R&D and ICT investment at the firm level in an effort to assess their relative importance and to what extent they are complements or substitutes. We use data on a large unbalanced panel data sample of Italian manufacturing firms constructed from four consecutive waves of a survey of manufacturing firms, to estimate a version of the CDM model of R&D, innovation, and productivity [Crépon–Duguet–Mairesse 1998. Research, innovation and productivity: An econometric analysis at the firm level. Economics of Innovation and New Technology 7, no. 2: 115–58] that has been modified to include ICT investment and R&D as the two main inputs into innovation and productivity. We find that R&D and ICT are both strongly associated with innovation and productivity, with R&D being more important for innovation, and ICT investment being more important for productivity. For the median firm, rates of return to both investments are so high that they suggest considerably underinvestment in both these activities. We explore the possible complementarity between R&D and ICT in innovation and production, but find none, although we do find complementarity between R&D and worker skill in innovation.     

数字赋能制造企业技术创新的实现机制——基于数据生命周期理论的研究

数字技术与数据要素成为我国制造企业实现技术创新的重要手段,需从数据要素视角深入分析数字赋能制造企业技术创新的全过程机制。基于数据生命周期理论,采用探索性案例研究方法,构建了数字赋能制造企业技术创新实现机制的理论模型。研究发现,制造企业价值链上主要模块基于不同功能和目标采用不同的数字技术,形成生产流程、研发模块和营销体系全联通,在联通过程中以数据生命周期管理实现赋能,主要体现为：生产流程中,基于物联网和智能制造系统形成全流程动态反馈赋能机制,以数据的采集、传输和监控促进工艺创新;营销体系中,基于大数据技术形成全面需求双维度反向赋能机制,以数据的采集、分析和可视化促进产品创新;研发模块中,基于自身数字化升级和数字平台形成全联通赋能机制,以数据的搜寻、分享和整合促进联动创新。     

Succeeding in innovation: key insights on the role of R&D and technological acquisition drawn from company data

This paper discusses the relationship between a company’s investment in innovation and its success in introducing new product and/or process innovations. In doing so, this analysis departs from the standard approach which puts forward a homogenous R&D-based knowledge production function by introducing different types of innovation investments (R&D and technology acquisition) for different sets of companies. Using the Community Innovation Survey (CIS) dataset comprising more than 3,000 Italian manufacturing companies, the econometric analysis adopts a set of techniques which allows to control for the sample selection, endogeneity and simultaneity problems which arise when dealing with CIS data. The main findings are summarised as follows: (1) beyond the acknowledged effect of R&D in increasing the probability of success of product innovation, a larger-than-expected role is played by technology acquisition in the innovation process; (2) the relative importance of R&D and technology acquisition varies significantly across different types of companies where crucial dimensions of analysis are company size and the technological domain of a sector.     

The Innovation‐R&D Nexus in an Emerging Economy: Evidence from the Indian Manufacturing Sector

While R&D is considered an important input for innovation, its relationship with the output of the innovation process continues to remain enigmatic, especially in developing countries with low levels of domestic research. Using patents and knowledge capital stock as proxies for the output and input of the innovation process, we study their nexus in the emerging economy of India using a large sample of manufacturing firms over the period 2001–2010. Using a specification that addresses the problem of ‘excess zeroes’ in count data, the firm's non‐technical knowledge stock as an additional factor of the success with which R&D transforms into patents, and a linear feedback mechanism that yields consistent estimators, we find that a one unit increase in knowledge capital likely raises expected patent count by only about 4.3% at most. Further, although patenting experience, resource access and knowledge spillovers are strongly significant in explaining patent counts, the magnitude of these effects is marginal at best. In brief, evidence for the knowledge production function is rather weak even in the context of a dynamic developing economy.     

Innovation and productivity in manufacturing and service firms in Catalonia: a regional approach

This article analyses the determinants of research and development (R&D) and the role of innovation on labour productivity in Catalan firms. Our empirical analysis found a considerable heterogeneity in firm performances between the manufacturing and service industries and between low- and high-tech industries. The frontiers that separate manufacturing and service industries are increasingly blurred. In Catalonia high-tech knowledge-intensive services (KIS) play a strategic role in promoting innovation in both manufacturing and service industries, and driving growth throughout the regional economy. Empirical results show new firms created during the period 2002–2004 that have a greater R&D intensity than incumbent firms (54.1% in high-tech manufacturing industries and 68.8% in high-tech KIS). Small and young firms in the high-tech KIS sector are very prone to carrying out R&D and they invest more in innovation projects. R&D expenditures, output innovation, investment in physical capital, market share and export have positive effects on labour productivity in both the manufacturing and service sectors. Firm size, on the other hand, has a positive effect on productivity in manufacturing industries but not in services.     

Embedding environmental innovation in local production systems: SME strategies,networking and industrial relations: evidence on innovation drivers in industrial districts

Technological innovation is a key factor for achieving better environmental performances. Its role is even more relevant in local productions system, where innovation density, knowledge spillovers and externalities are concentrated in a circumscribed territory. The paper exploits new data for a sample of manufacturing firms in Northern Italy. New evidence is provided by testing a set of hypotheses, concerning primarily the role of environmental‐devoted R&D, networking activities, quality/nature of industrial relations. The role played by environmental policy pressure, structural firm features and past firm performances is also investigated to account for more exogenous forces. We show that structural characteristics of the firm appear to matter less than R&D, induced policy costs and innovative‐oriented industrial relations. Environmental auditing schemes also show some relevant correlation to innovation adoptions. R&D efforts appear to be associated to networking activities, which substitute for size‐related economies of scale. Overall, endogenous factors driven by firm strategy or local idiosyncratic features matter more than exogenous and structural firm factors.     

Mergers and innovation: evidence from a panel of US firms*

Mergers lead to larger firms and a less competitive market structure, but their effects on innovation are not clear. Mergers may improve innovation incentives by promoting economies of scope and scale, R&D activities, and increasing the ability to deal with uncertainties. However, mergers may also discourage innovation by reducing competition, increasing costs, and decreasing production and R&D efficiencies. In this study, we investigate merger impacts on innovation using a panel data consisting of four different data sets on publicly traded US manufacturing firms from 1980 to 2003. Our proxy for innovation is based on citation-weighted patent stocks. In our estimation model, we control for endogeneity using instrumental variables and factors such as market share, size, industry, and time. We find that mergers are positively and significantly correlated with firms’ innovation. Our findings also indicate that merger effect on innovation is heterogeneous across industries, increases with market share, and is greater in the long run. Our findings are robust to alternative measures of innovation.     

Estimation of R&D depreciation rates: a suggested methodology and preliminary application

Abstract The 2008 version of the SNA has recommended capitalization of R&D expenditures. To implement this recommendation, we need to determine the depreciation rate of R&D capital. In this paper, we develop a simple model, based on a production function method that allows for monopolistic competition, to estimate the annual depreciation rate of R&D capital. We treat R&D capital as a technology shifter instead of as an explicit input factor. Both the R&D stock and the time variable are used to capture technological progress. Estimated R&D depreciation rates and markup factors are presented for the U.S. manufacturing sector and four U.S. knowledge‐intensive industries.     

THE JOB CREATION EFFECT OF R&D EXPENDITURES*

In this study we use a unique database covering 25 manufacturing and service sectors for 15 European countries over the period 1996–2005, for a total of 2,295 observations, and apply GMM‐SYS panel estimations of a demand‐for‐labour equation augmented with technology. We find that R&D expenditure – fostering product innovation – have a job‐creating effect, in accordance with the previous theoretical and empirical literature discussed in the paper. Interestingly enough, the labour‐friendly nature of R&D emerges in both the flow and the stock specifications. These findings provide further justification for the European Lisbon targets.     

An investigation over inbound open innovation in SMEs: insights from an Italian manufacturing sample

ABSTRACT

Building on the Open Innovation (OI) framework, the purpose of this paper is to examine the R&D inbound model of small and medium enterprises (SMEs). Specifically, we focus on the impact of different horizontal R&D collaborations on product innovation and innovation performance. Hypotheses are tested using a Probit/Tobit regression on an Italian sample of 2591 manufacturing SMEs. Our analysis shows that collaborating with different horizontal R&D partners brings to different innovation outcomes. In particular, R&D collaboration with universities has a positive impact on product innovation, but not on innovation performance. Whereas, R&D collaboration with research centres and other private companies has a positive impact on both product innovation and innovation performance. Our findings provide implications for SMEs managers and entrepreneurs who have to decide between R&D partners for their innovation strategy. Avenues for future research are discussed.     

不同监督情境下政府创新支持对企业研发投入的影响——基于农业上市公司的实证研究

近年来,“三农”问题受到极大关注。为了应对外部资源、环境、科学技术等多重压力对农业升级与发展的影响,政府出台了诸多政策支持农业企业的技术研发与创新。本文从政府干预视角分析政府补助和税费返还两种形式的政府创新支持政策对农业企业研发投入的影响,重点分析机构投资者与大股东参与公司内部治理以及社会审计事务机构参与公司外部治理这两者所发挥的不同监督作用。研究发现：第一,不同形式的政府创新支持（政府补助和税费返还）对农业企业研发投入的影响并不一致。政府补助产生替代效应,税费返还则产生互补效应。第二,持股监督（机构投资者和大股东的持股比例上升）能增强政府补助对农业企业研发投入的替代效应,也能增强税费返还对农业企业研发投入的互补效应。第三,审计监督（社会审计事务机构的审计意见）会减弱政府补助支持对农业企业研发投入的替代效应,也会减弱税费返还对农业企业研发投入的互补效应。本文的研究发现为政府制定适宜的创新支持政策,以及合理发挥持股监督与审计监督的内外部治理作用,提供一定的决策依据和理论支持。     

Organization Design and Information-Sharing in a Research Joint Venture with Spillovers

The paper presents a non-tournament model of process innovation with spillovers in the R&D process when firms engage in Cournot competition in the product market. It is shown that careful modelling of information-sharing and coordination of research activities leads to the conclusion that a Research Joint Venture (RJV) will economize on scarce R&D resources. There is an analysis of the effects of R&D cooperation, in the form of an RJV, on the organization of R&D, i.e. the efficient number of research labs. R&D expenditure, which precedes production, results in lower unit costs. R&D is modelled as a two-stage process: in the first stage, firms incur expenditure that will generate new knowledge, while in the second stage this knowledge is employed to reduce unit costs. A distinction is made between single and complementary research paths. It is shown that the RJV will operate one lab in the case of a single research path exploiting its coordination advantage. In the case of complementary research paths the number of labs the RJV will operate crucially depends on the stage of the R&D process at which diminishing returns occur: it will operate both labs when diminishing returns occur at the first stage (creation of knowledge), while it will be indifferent as to the number of labs, one or two, when diminishing returns occur in the second stage (cost reduction).     

Innovation,exports, productivity and investment climate; a study based on Indian manufacturing firm-level data

In this paper, we use univariate instrumental estimations to study the interactions between firm-level innovation, exports and productivity in the Indian manufacturing sector. To differentiate incentives to innovate from the ability to innovate, we distinguish the inputs of innovation (R&D and training) from the outputs. Our findings highlight a virtuous circle between the three components of innovation, as well as between firms’ R&D, innovation and exports. The productivity of Indian manufacturing firms is benefiting from this dynamics, as exports and innovation improve firms’ TFP. With respect to the investment climate, our results suggest that differences in the environment of Indian companies contribute to their performance gaps. These results are all the more important in the context of the Make in India campaign and the weaknesses of India’s business environment.     

研发创新抑制波动机制分析*——基于企业生产供给波动视角

本文基于种类扩展型技术进步框架构建了理论模型,分析研发创新对企业层面生产供给波动的影响效应以及其作用机理,并利用中国制造业企业数据对理论模型进行验证。本文发现,研发创新带来的更多技术种类能够在一定程度上抵御生产波动的风险,企业研发创新强度越大、全要素生产率越高,则企业产出波动性和生产率波动性越小。进一步研究发现,研发投入是通过扩展技术种类范围、提升全要素生产率间接地抑制波动,而研发产出会对企业层面波动产生直接和间接的抑制作用。因此,本文揭示了“创新性毁灭”之外研发创新影响企业层面波动的另一种机制,为改善供给状况、平抑实体经济波动提供了政策启示。     

Internal R&D effort,external imported technology and economic value added: empirical study of Taiwan's electronic industry

Technology innovation is a significant resource in the contemporary knowledge-based economy. The main sources of technology innovation are internal R&D effort and external imported technology. Two primary traditional production factors are physical capital and labour. The theoretical basis for this study is an evolutionary Cobb–Douglas production function explaining the effects of four resources (internal R&D effort, imported technology, physical capital and labour) on a firm's sales and economic value added (EVA). Time-series cross-section panel data from 219 Taiwan electronic manufacturers between 1990 and 2003 were employed for fixed effect model. Major empirical findings were observed in this study: first, Internal R&D effort can positively affect a firm's sales and EVA. Conversely, imported technology is found to have had no significant effect on sales and EVA. Second, although both physical capital and labour affect a firm's sales more than the effects of internal R&D and external imported technology, internal R&D effort contributes to a firm's EVA beyond the effects of imported technology, physical capital and labour. Third, External imported technology has neither a complementary nor a substitutive relationship with internal R&D effort.     

Competition,patent protection,and innovation with heterogeneous firms in an endogenous market structure

This paper revisits the relationship between competition and innovation by incorporating the heterogeneity of R&D efficiency across firms and an endogenous market structure in a dynamic general equilibrium model. Using an analytically tractable model, we show that competition and innovation can have either an inverted‐U or a negative relationship, as reported by several empirical studies. Furthermore, we show that the effect of strengthening patent protection on innovation depends on the competition level. In particular, we find a complementary relationship between competition policy and the strengthening of patent protection.     

Hidden innovators: the role of non-R&D activities

Although R&D has been highlighted as the main source of firm-level innovations, a significant group of firms develop innovations without performing R&D activities. The primary goal of this study is to understand the sources of innovation in such firms. To accomplish this goal, we explore the role played by other, non-R&D activities that can lead to innovation – activities such as technology forecasting, design, use of advanced manufacturing technologies and training. Our empirical analysis is based on a representative panel of Spanish manufacturing firms. The results strongly support the view that non-R&D activities are critical factors in explaining both product and process innovations attained by any firm, especially in the case of firms not performing R&D. Academic, managerial, and policy implications are derived from these results.     

Empirical research on the different innovation engine between China and US manufacturing using an improved method

Most studies arrive at controversial conclusions about the relationship between firm size and technological innovation. Industrial differences and subjective model design are generally considered the primary cause. In static comparisons across industries, dynamic industrial changes are ignored, but this might lead to differing results when attempting to identify the driving forces of evolutionary change in an industrial environment. This study applies nonparametric regression methods with an expansive industry grouping to overcome the industry-difference interference and empirical model error, typifying traditional studies. First, a comparative analysis of the forces driving US and Chinese manufacturing is performed. Results indicate that US and Chinese manufacturing are in different industrial growth stages. Chinese manufacturing takes the traditional elements and R&D input as its main driving factors, which require objectively, expansive scale of enterprise, therefore showing characteristic Schumpeterian innovation. US manufacturing is driven by both R&D and non-R&D inputs; so it can maintain continuous innovation through cooperative networks under conditions of constant or contracting firm size.