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COHERENCE OF THE KNOWLEDGE BASE AND THE FIRM'S INNOVATIVE PERFORMANCE: EVIDENCE FROM THE U.S. PHARMACEUTICAL INDUSTRY -super-*

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Author Info
Lionel Nesta
Pier Paolo Saviotti

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Abstract

We examine the relationship between the coherence of the knowledge base and the innovative performance of U.S. pharmaceutical firms during the 1990's. We develop measures of the coherence and scope of the firms' knowledge base. Count data regression models show a strong link between these two properties and the firms' innovative performance. Firms experience decreasing returns to scale in research but larger firms enjoy a significant size advantage in innovation. Knowledge flows are necessary in knowledge production but not sufficient to secure its quality. Over time, the contribution of the scope and coherence of the knowledge base is increasing. Copyright Blackwell Publishing Ltd. 2005.

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File URL: http://www.blackwell-synergy.com/doi/abs/10.1111/j.0022-1821.2005.00248.x
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Publisher Info
Article provided by Blackwell Publishing in its journal The Journal of Industrial Economics.

Volume (Year): 53 (2005)
Issue (Month): 1 (03)
Pages: 123-142
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Handle: RePEc:bla:jindec:v:53:y:2005:i:1:p:123-142

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  1. Boris Lokshin & Rene Belderbos & Martin Carree, 2006. "Internal and external R&DF complements or substitutes? Evidence from a dynamic panel data model," Hi-Stat Discussion Paper Series d06-163, Institute of Economic Research, Hitotsubashi University. [Downloadable!]
  2. Thomas Grebel & Jackie Krafft & Pier-Paolo Saviotti, 2006. "On knowledge intensive industry life cycles," Post-Print hal-00203585_v1, HAL. [Downloadable!]
  3. Elisa Giuliani, 2005. "The Structure of Cluster Knowledge Networks Uneven, not Pervasive and Collective," DRUID Working Papers 05-11, DRUID, Copenhagen Business School, Department of Industrial Economics and Strategy/Aalborg University, Department of Business Studies. [Downloadable!]
  4. Lionel Nesta & Pier-Paolo Saviotti, 2003. "Intangible Assests and Market Value: Evidence from Biotechnology Firms," SPRU Electronic Working Paper Series 87, University of Sussex, SPRU - Science and Technology Policy Research. [Downloadable!]
  5. Reinhard Haupt & Matthias Korgel, 2005. "A Comparison between US and International Patent Classification as Input Data of a Technology Competition-Oriented Cluster Analysis," Jenaer Schriften zur Wirtschaftswissenschaft 20/2005, Friedrich-Schiller-Universität Jena, Wirtschaftswissenschaftliche Fakultät. [Downloadable!]
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