The impact on innovation performance of different sources of knowledge: Evidence from the UK Community Innovation Survey

This paper considers two main categories of knowledge sources and their impact on the innovation performance of enterprises: own-generation through R&D versus knowledge transfers via bought-in resources for innovation purposes, external collaborations on R&D, and internal sources within the company. The national and international dimensions of both internal networks and external collaborative agreements are explored, as is the interaction between R&D and other sources. Data from two UK Community Innovation Surveys allow for the lagging of relevant variables. Our results suggest that, while intra-company knowledge sources, own-generation, and bought-in R&D matter in innovation performance, the benefits of joint innovation efforts in the form of cooperation are less clear. The international dimension of internal networks is highly relevant, and interactions between the own-generation of knowledge and external sources increase the innovation potential of enterprises.