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The impact of participation within formal standardization on firm performance

Author

Listed:
  • Paul Wakke

    (Technische Universität Berlin)

  • Knut Blind

    (Technische Universität Berlin
    Erasmus University
    Fraunhofer Institute for Open Communication Systems (FOKUS))

  • Florian Ramel

    (Technische Universität Berlin)

Abstract

Several studies highlight the economic benefits of standards, while the benefit of taking part in standardization remains a rather unexplored mystery to date. In theory, standard setters not only benefit from the possibility to monitor and shape the development of standards but also access a wide range of knowledge sources in the standards committee. Therefore, we investigate how the participation within formal standardization is related to the performance of 1561 German companies. A Cobb-Douglas production function is estimated in order to use the Solow-residuals as indicator for the firm performance. Participation within formal standardization is measured by the number of committee seats at the German Institute for Standardization (DIN). Our results suggest that participation within formal standardization is positively related to firm performance in the manufacturing sector. In the service sector, no clear evidence for such a relationship is found. This finding also holds true when we test if a service providers’ intellectual property is well protected through patents.

Suggested Citation

  • Paul Wakke & Knut Blind & Florian Ramel, 2016. "The impact of participation within formal standardization on firm performance," Journal of Productivity Analysis, Springer, vol. 45(3), pages 317-330, June.
    • Handle: RePEc:kap:jproda:v:45:y:2016:i:3:d:10.1007_s11123-016-0465-3
    DOI: 10.1007/s11123-016-0465-3
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    Cited by:

    1. Blind, Knut & Krieger, Bastian & Pellens, Maikel, 2022. "The interplay between product innovation, publishing, patenting and developing standards," Research Policy, Elsevier, vol. 51(7).
    2. Thomas Fischer & Björn Lundell & Jonas Gamalielsson, 2023. "On PDF/A Conformance and Font Usage in PDF Documents Provided by Public Sector Organizations," International Journal of Standardization Research (IJSR), IGI Global, vol. 20(1), pages 1-19, January.
    3. Anna Pohle & Knut Blind & Dmitry Neustroev, 2018. "The Impact of International Management Standards on Academic Research," Sustainability, MDPI, vol. 10(12), pages 1-19, December.
    4. Hong Jiang & Sipeng Gao & Yang Song & Kuang Sheng & Gehan A. J. Amaratunga, 2019. "An Empirical Study on the Impact of Collaborative R&D Networks on Enterprise Innovation Performance Based on the Mediating Effect of Technology Standard Setting," Sustainability, MDPI, vol. 11(24), pages 1-20, December.
    5. Knut Blind & Jakob Pohlisch & Anne Rainville, 2020. "Innovation and standardization as drivers of companies’ success in public procurement: an empirical analysis," The Journal of Technology Transfer, Springer, vol. 45(3), pages 664-693, June.
    6. Serdal Ozusaglam & Stéphane Robin & Chee Yew Wong, 2018. "Early and late adopters of ISO 14001-type standards: revisiting the role of firm characteristics and capabilities," The Journal of Technology Transfer, Springer, vol. 43(5), pages 1318-1345, October.
    7. Wu, Yuhao & de Vries, Henk J., 2022. "Effects of participation in standardization on firm performance from a network perspective: Evidence from China," Technological Forecasting and Social Change, Elsevier, vol. 175(C).
    8. Liying Wang & Chunmiao Zhao & Wenyan Wei & Shengnan Li, 2023. "Research on the Influence Mechanism of Enterprise Industrial Internet Standardization on Digital Innovation," Sustainability, MDPI, vol. 15(9), pages 1-18, April.
    9. Jonas Gamalielsson & Björn Lundell, 2021. "On Engagement With ICT Standards and Their Implementations in Open Source Software Projects: Experiences and Insights From the Multimedia Field," International Journal of Standardization Research (IJSR), IGI Global, vol. 19(1), pages 1-28, January.
    10. Cesare A.F. Riillo & Kai Jakobs, 2023. "Too many or too few Standards Setters? Evidence from the Performance of Firms engaged in Standardization," The Journal of Technology Transfer, Springer, vol. 48(6), pages 2106-2131, December.
    11. Knut Blind & Maximilian Laer, 2022. "Paving the path: drivers of standardization participation at ISO," The Journal of Technology Transfer, Springer, vol. 47(4), pages 1115-1134, August.
    12. Nizar Abdelkafi & Sergiy Makhotin & Marina Thuns & Anna Pohle & Knut Blind, 2016. "To Standardise Or To Patent? Development Of A Decision Making Tool And Recommendations For Young Companies," International Journal of Innovation Management (ijim), World Scientific Publishing Co. Pte. Ltd., vol. 20(08), pages 1-30, December.

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    More about this item

    Keywords

    Participation; Standardization; Firm performance; Cobb-Douglas production function;
    All these keywords.

    JEL classification:

    • L15 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance - - - Information and Product Quality
    • L25 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - Firm Performance
    • C31 - Mathematical and Quantitative Methods - - Multiple or Simultaneous Equation Models; Multiple Variables - - - Cross-Sectional Models; Spatial Models; Treatment Effect Models; Quantile Regressions; Social Interaction Models

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