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Absorptive capacity and post-acquisition inventor productivity

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  • Katrin Hussinger

Abstract

Inventors often experience a low productivity after their company has been subject to a merger or acquisition (M&As). It is of central managerial interest to identify factors facilitating the integration of new inventive staff and thereby counteracting innovation declines after M&As. This paper provides empirical evidence into the role of acquiring firms’ absorptive capacity for the post-merger patent productivity of the acquired inventors. Based on a sample of 544 inventors employed by European acquisition targets in the period 2000–2001 it is shown that the post-merger productivity of acquired inventors is significantly higher within acquiring firms with a distinct absorptive capacity. It can be concluded that absorptive capacity is a firm capability that enhances the integration of inventors after firm takeovers. Copyright The Author(s) 2012

Suggested Citation

  • Katrin Hussinger, 2012. "Absorptive capacity and post-acquisition inventor productivity," The Journal of Technology Transfer, Springer, vol. 37(4), pages 490-507, August.
    • Handle: RePEc:kap:jtecht:v:37:y:2012:i:4:p:490-507
    DOI: 10.1007/s10961-010-9199-y
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    Cited by:

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    2. Victoria Shestalova & Chiara Criscuolo & Nick Johnstone & Carlo Menon, 2014. "Renewable energy policies and cross-border investment: evidence from M&A in solar and wind energy," CPB Discussion Paper 288, CPB Netherlands Bureau for Economic Policy Analysis.
    3. SAITO Yukiko & YAMAUCHI Isamu, 2015. "Inventors' Mobility and Organizations' Productivity: Evidence from Japanese rare name inventors," Discussion papers 15128, Research Institute of Economy, Trade and Industry (RIETI).
    4. Wojciech Grabowski & Anna Staszewska-Bystrova, 2020. "The Role of Public Support for Innovativeness in SMEs Across European Countries and Sectors of Economic Activity," Sustainability, MDPI, vol. 12(10), pages 1-19, May.
    5. Victoria Shestalova & Chiara Criscuolo & Nick Johnstone & Carlo Menon, 2014. "Renewable energy policies and cross-border investment: evidence from M&A in solar and wind energy," CPB Discussion Paper 288.rdf, CPB Netherlands Bureau for Economic Policy Analysis.
    6. Stephan Hess & Roland Siegwart, 2013. "R&D Venture: proposition of a technology transfer concept for breakthrough technologies with R&D cooperation: A case study in the energy sector," The Journal of Technology Transfer, Springer, vol. 38(2), pages 153-179, April.

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    More about this item

    Keywords

    M&As; Absorptive capacity; Inventor productivity; O30; O32; G34;
    All these keywords.

    JEL classification:

    • O30 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - General
    • O32 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Management of Technological Innovation and R&D
    • G34 - Financial Economics - - Corporate Finance and Governance - - - Mergers; Acquisitions; Restructuring; Corporate Governance

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