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Innovation in firms

Author

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  • Mark Dodgson

Abstract

As the firm is the central mechanism for converting innovation into economic action, this paper argues that economists and economic policy-makers need to understand how and why firms innovate. This is challenging because innovation manifests itself in a wide range of forms and results from diverse organizational processes. The paper discusses a number of the practices supporting innovation in firms, including positioning, connecting, protecting, organizing, and measuring. A number of theories explaining innovation in firms are discussed. The paper concludes that the determination of the most effective policy levers for encouraging innovation requires staying abreast of current and emerging innovation practices in firms.

Suggested Citation

  • Mark Dodgson, 2017. "Innovation in firms," Oxford Review of Economic Policy, Oxford University Press and Oxford Review of Economic Policy Limited, vol. 33(1), pages 85-100.
    • Handle: RePEc:oup:oxford:v:33:y:2017:i:1:p:85-100.
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    File URL: http://hdl.handle.net/10.1093/oxrep/grw034
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    Citations

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    Cited by:

    1. Palmié, Maximilian & Rüegger, Stephanie & Parida, Vinit, 2023. "Microfoundations in the strategic management of technology and innovation: Definitions, systematic literature review, integrative framework, and research agenda," Journal of Business Research, Elsevier, vol. 154(C).
    2. Chiara Bocci & Annalisa Caloffi & Marco Mariani & Alessandro Sterlacchini, 2023. "Evaluating Public Support to the Investment Activities of Business Firms: A Multilevel Meta-Regression Analysis of Italian Studies," Italian Economic Journal: A Continuation of Rivista Italiana degli Economisti and Giornale degli Economisti, Springer;Società Italiana degli Economisti (Italian Economic Association), vol. 9(1), pages 1-34, March.
    3. Ștefan Cristian Gherghina & Mihai Alexandru Botezatu & Alexandra Hosszu & Liliana Nicoleta Simionescu, 2020. "Small and Medium-Sized Enterprises (SMEs): The Engine of Economic Growth through Investments and Innovation," Sustainability, MDPI, vol. 12(1), pages 1-22, January.
    4. Paola Azar, 2020. "Politics as a determinant of primary school provision The case of Uruguay, 1914-1954," Documentos de Trabajo (working papers) 20-07, Instituto de Economía - IECON.
    5. Alan Felstead & Duncan Gallie & Francis Green & Golo Henseke, 2020. "Getting the Measure of Employee‐Driven Innovation and Its Workplace Correlates," British Journal of Industrial Relations, London School of Economics, vol. 58(4), pages 904-935, December.
    6. Carlos Bianchi & Hugo Laguna, 2020. "Firm’s innovation strategies and employment: new evidence from Uruguay," Documentos de Trabajo (working papers) 20-06, Instituto de Economía - IECON.
    7. Viktorie Klímová & Vladimír Žítek & Maria Králová, 2020. "How Public R&D Support Affects Research Activity of Enterprises: Evidence from the Czech Republic," Journal of the Knowledge Economy, Springer;Portland International Center for Management of Engineering and Technology (PICMET), vol. 11(3), pages 888-907, September.

    More about this item

    Keywords

    innovation; firms; innovation practices; innovation policies;
    All these keywords.

    JEL classification:

    • O31 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Innovation and Invention: Processes and Incentives
    • O32 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Management of Technological Innovation and R&D

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