Article ID Journal Published Year Pages File Type
988178 Structural Change and Economic Dynamics 2012 12 Pages PDF
Abstract

This paper discusses the sources of product innovation in young innovative companies (YICs), here defined as firms engaged in product innovation and with less than 8 years of activity. In particular, we look at in-house and external R&D and at the acquisition of external technology in its embodied and disembodied components. These input–output relationships are tested on a sample of 2713 innovative Italian firms. A sample-selection approach is applied to study both the determinants of product innovation and the factors affecting the intensity of innovation.Results show that in-house R&D is linked to the propensity to introduce product innovation both in mature firms and YICs; however, innovation intensity in the YICs is mainly dependent on embodied technical change from external sources, while in-house R&D does not play a significant role.

► This paper discusses the sources (R&D and at the acquisition of external technology) of product innovation in young innovative companies (YICs). ► These input–output relationships are tested on a sample of 2713 innovative Italian firms. ► We show that in-house R&D is linked to the propensity to introduce product innovation both in mature firms and YICs. ► We also find that innovation intensity in the YICs is mainly dependent on embodied technical change from external sources, while in-house R&D does not play a significant role.

Related Topics
Social Sciences and Humanities Economics, Econometrics and Finance Economics and Econometrics
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