IDEAS home Printed from https://ideas.repec.org/a/spr/svcbiz/v9y2015i2p233-256.html
   My bibliography  Save this article

Innovation management capabilities in rural and urban knowledge intensive business services: empirical evidence

Author

Listed:
  • Cristina Fernandes
  • João Ferreira
  • Carla Marques

Abstract

The purpose of this research involves describing and modelling the innovation management capabilities in effect at knowledge intensive business services (KIBS) firms in addition to identifying the profile of entrepreneurs when classified by location (urban vs. rural) dimensions. Our results show that KIBS innovation capabilities differ according to their location. They also demonstrate that, from the set of dimensions studied, strategy, learning and network were the dimensions that best explained KIBS innovation capabilities by location. Hence, strategy associated factors are the most important with regard to innovation activities ongoing at rural KIBS while the corresponding activities at urban KIBS are driven by factors associated with learning and networking. The study also provides recommendations for entrepreneurs seeking to refine their innovation capabilities. Copyright Springer-Verlag Berlin Heidelberg 2015

Suggested Citation

  • Cristina Fernandes & João Ferreira & Carla Marques, 2015. "Innovation management capabilities in rural and urban knowledge intensive business services: empirical evidence," Service Business, Springer;Pan-Pacific Business Association, vol. 9(2), pages 233-256, June.
  • Handle: RePEc:spr:svcbiz:v:9:y:2015:i:2:p:233-256
    DOI: 10.1007/s11628-013-0225-7
    as

    Download full text from publisher

    File URL: http://hdl.handle.net/10.1007/s11628-013-0225-7
    Download Restriction: Access to full text is restricted to subscribers.

    File URL: https://libkey.io/10.1007/s11628-013-0225-7?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Jon Sundbo & Faïz Gallouj, 1998. "Innovation as a loosely coupled system in services," Post-Print halshs-01113675, HAL.
    2. Figueiredo, Octavio & Guimaraes, Paulo & Woodward, Douglas, 2002. "Home-field advantage: location decisions of Portuguese entrepreneurs," Journal of Urban Economics, Elsevier, vol. 52(2), pages 341-361, September.
    3. Elizabeth Webster, 2004. "Firms' decisions to innovate and innovation routines," Economics of Innovation and New Technology, Taylor & Francis Journals, vol. 13(8), pages 733-745.
    4. Santamaría Sánchez, Luis & Nieto Sánchez, María Jesús, 2005. "Novelty of product innovation : the role of different networks," DEE - Working Papers. Business Economics. WB wb056516, Universidad Carlos III de Madrid. Departamento de Economía de la Empresa.
    5. Lynn Mytelka, 2000. "Local Systems Of Innovation In A Globalized World Economy," Industry and Innovation, Taylor & Francis Journals, vol. 7(1), pages 15-32.
    6. Faïz Gallouj, 1998. "Innovating in reverse: services and the reverse product cycle," Post-Print halshs-01114103, HAL.
    7. Ann Markusen, 2003. "Fuzzy Concepts, Scanty Evidence, Policy Distance: The Case for Rigour and Policy Relevance in Critical Regional Studies," Regional Studies, Taylor & Francis Journals, vol. 37(6-7), pages 701-717.
    8. Gallouj, Faiz & Weinstein, Olivier, 1997. "Innovation in services," Research Policy, Elsevier, vol. 26(4-5), pages 537-556, December.
    9. Alexander Kaufmann & Franz Todtling, 2000. "Systems of Innovation in Traditional Industrial Regions: The Case of Styria in a Comparative Perspective," Regional Studies, Taylor & Francis Journals, vol. 34(1), pages 29-40.
    10. David Doloreux, 2004. "Regional Innovation Systems in Canada: A Comparative Study," Regional Studies, Taylor & Francis Journals, vol. 38(5), pages 479-492.
    11. Peter Wood, 2005. "A service-informed approach to regional innovation -- or adaptation?," The Service Industries Journal, Taylor & Francis Journals, vol. 25(4), pages 429-445, June.
    12. Fritsch, M. & Lukas, R., 1998. "Innovation, Cooperation, and the Region," Papers 98/1, Bergakademie Freiberg, Faculty of Economics and Business Administration.
    13. Rinaldo Evangelista, 2000. "Sectoral Patterns Of Technological Change In Services," Economics of Innovation and New Technology, Taylor & Francis Journals, vol. 9(3), pages 183-222.
    14. Magnus Henrekson & Dan Johansson, 2010. "Gazelles as job creators: a survey and interpretation of the evidence," Small Business Economics, Springer, vol. 35(2), pages 227-244, September.
    15. I. Miles, 2003. "Services Innovation: Coming Of Age In The Knowledge-Based Economy," World Scientific Book Chapters, in: Ben Dankbaar (ed.), Innovation Management In The Knowledge Economy, chapter 3, pages 59-81, World Scientific Publishing Co. Pte. Ltd..
    16. N M Coe, 1998. "Exploring Uneven Development in Producer Service Sectors: Detailed Evidence from the Computer Service Industry in Britain," Environment and Planning A, , vol. 30(11), pages 2041-2068, November.
    17. Faridah Djellal & Faïz Gallouj, 2009. "Innovation gap, performance gap and policy gap in the service economies," Working Papers hal-01111800, HAL.
    18. Kirchhoff, Bruce A. & Phillips, Bruce D., 1988. "The effect of firm formation and growth on job creation in the United States," Journal of Business Venturing, Elsevier, vol. 3(4), pages 261-272.
    19. Carlsson, B & Stankiewicz, R, 1991. "On the Nature, Function and Composition of Technological Systems," Journal of Evolutionary Economics, Springer, vol. 1(2), pages 93-118, April.
    20. José A. Camacho & Mercedes Rodríguez, 2005. "How innovative are services? an empirical analysis for Spain," The Service Industries Journal, Taylor & Francis Journals, vol. 25(2), pages 253-271, March.
    21. Gallouj, Faiz, 2002. "Innovation in services and the attendant old and new myths," Journal of Behavioral and Experimental Economics (formerly The Journal of Socio-Economics), Elsevier, vol. 31(2), pages 137-154.
    22. Cohen, Wesley M & Levinthal, Daniel A, 1989. "Innovation and Learning: The Two Faces of R&D," Economic Journal, Royal Economic Society, vol. 99(397), pages 569-596, September.
    23. Tobias Schmidt, 2010. "Absorptive capacity-one size fits all? A firm-level analysis of absorptive capacity for different kinds of knowledge," Managerial and Decision Economics, John Wiley & Sons, Ltd., vol. 31(1), pages 1-18.
    24. Faridah Djellal & Faïz Gallouj, 2012. "L'innovation dans les services publics," Revue française d'économie, Presses de Sciences-Po, vol. 0(2), pages 97-142.
    25. Philip McCann, 2007. "Sketching Out a Model of Innovation, Face-to-face Interaction and Economic Geography," Spatial Economic Analysis, Taylor & Francis Journals, vol. 2(2), pages 117-134.
    26. Spyros Arvanitis, 2008. "Explaining Innovative Activity In Service Industries: Micro Data Evidence For Switzerland," Economics of Innovation and New Technology, Taylor & Francis Journals, vol. 17(3), pages 209-225.
    27. James Simmie, 2003. "Innovation and Urban Regions as National and International Nodes for the Transfer and Sharing of Knowledge," Regional Studies, Taylor & Francis Journals, vol. 37(6-7), pages 607-620.
    28. Pim Den Hertog, 2000. "Knowledge-Intensive Business Services As Co-Producers Of Innovation," International Journal of Innovation Management (ijim), World Scientific Publishing Co. Pte. Ltd., vol. 4(04), pages 491-528.
    29. Bruce Tether, 2005. "Do Services Innovate (Differently)? Insights from the European Innobarometer Survey," Industry and Innovation, Taylor & Francis Journals, vol. 12(2), pages 153-184.
    30. Harald Strotmann & Andreas Koch, 2005. "The Impact of Functional Integration and Spatial Proximity on the Post-entry Performance of Knowledge Intensive Business Service Firms," IAW Discussion Papers 18, Institut für Angewandte Wirtschaftsforschung (IAW).
    31. Pavitt, Keith, 1984. "Sectoral patterns of technical change: Towards a taxonomy and a theory," Research Policy, Elsevier, vol. 13(6), pages 343-373, December.
    32. Elena Huergo & Jordi Jaumandreu, 2004. "How Does Probability of Innovation Change with Firm Age?," Small Business Economics, Springer, vol. 22(3_4), pages 193-207, April.
    33. Faridah Djellal & Faïz Gallouj, 2006. "Innovation, services, emplois," Post-Print halshs-00199647, HAL.
    34. Heidi Wiig Aslesen & Arne Isaksen, 2007. "Knowledge Intensive Business Services and Urban Industrial Development," The Service Industries Journal, Taylor & Francis Journals, vol. 27(3), pages 321-338, April.
    35. Poh Kam Wong & Zi-Lin He, 2005. "A comparative study of innovation behaviour in Singapore's KIBS and manufacturing firms," The Service Industries Journal, Taylor & Francis Journals, vol. 25(1), pages 23-42, January.
    36. Faïz Gallouj, 1997. "Towards a neo-Schumpeterian theory of innovation in services?," Science and Public Policy, Oxford University Press, vol. 24(6), pages 405-420, December.
    37. Roger R. Stough, 2003. "Strategic management of places and policy," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 37(2), pages 179-201, May.
    38. Mark Freel, 2006. "Patterns of Technological Innovation in Knowledge-Intensive Business Services," Industry and Innovation, Taylor & Francis Journals, vol. 13(3), pages 335-358.
    39. Muller, Emmanuel & Doloreux, David, 2009. "What we should know about knowledge-intensive business services," Technology in Society, Elsevier, vol. 31(1), pages 64-72.
    40. Victor R. Fuchs, 1968. "The Service Economy," NBER Books, National Bureau of Economic Research, Inc, number fuch68-1, March.
    41. Giulio Cainelli & Rinaldo Evangelista & Maria Savona, 2006. "Innovation and economic performance in services: a firm-level analysis," Cambridge Journal of Economics, Cambridge Political Economy Society, vol. 30(3), pages 435-458, May.
    42. Audretsch,David B. & Thurik,Roy (ed.), 1999. "Innovation, Industry Evolution and Employment," Cambridge Books, Cambridge University Press, number 9780521641661.
    43. Faïz Gallouj, 2002. "Innovation in services and the attendant myths," Post-Print halshs-00006854, HAL.
    44. Faïz Gallouj, 1994. "Economie de l'innovation dans les services," Post-Print hal-01111989, HAL.
    45. Dirk Czarnitzki & Alfred Spielkamp, 2003. "Business services in Germany: bridges for innovation," The Service Industries Journal, Taylor & Francis Journals, vol. 23(2), pages 1-30, March.
    46. Tether, Bruce S. & Hipp, Christiane & Miles, Ian, 2001. "Standardisation and particularisation in services: evidence from Germany," Research Policy, Elsevier, vol. 30(7), pages 1115-1138, August.
    47. Peter W. Roberts & Raphael Amit, 2003. "The Dynamics of Innovative Activity and Competitive Advantage: The Case of Australian Retail Banking, 1981 to 1995," Organization Science, INFORMS, vol. 14(2), pages 107-122, April.
    48. Peter R. Monge & Michael D. Cozzens & Noshir S. Contractor, 1992. "Communication and Motivational Predictors of the Dynamics of Organizational Innovation," Organization Science, INFORMS, vol. 3(2), pages 250-274, May.
    49. David L. Deephouse, 1999. "To be different, or to be the same? It’s a question (and theory) of strategic balance," Strategic Management Journal, Wiley Blackwell, vol. 20(2), pages 147-166, February.
    50. Kittiwat Uchupalanan, 2000. "Competition And It-Based Innovation In Banking Services," International Journal of Innovation Management (ijim), World Scientific Publishing Co. Pte. Ltd., vol. 4(04), pages 455-489.
    51. Wolfgang Becker & Juergen Peters, 2000. "Technological Opportunities, Absorptive Capacities, and Innovation," Discussion Paper Series 195, Universitaet Augsburg, Institute for Economics.
    52. Pierre Dussauge & Stuart Hart & Bernard Ramanantsoa, 1992. "Strategic Technology Management," Post-Print hal-00708987, HAL.
    53. Muller, Emmanuel & Doloreux, David, 2007. "The key dimensions of knowledge-intensive business services (KIBS) analysis: a decade of evolution," Working Papers "Firms and Region" U1/2007, Fraunhofer Institute for Systems and Innovation Research (ISI).
    54. Rinaldo Evangelista, 2006. "Innovation in the European service industries," Science and Public Policy, Oxford University Press, vol. 33(9), pages 653-668, November.
    55. Bruce Tether, 2003. "The sources and aims of innovation in services: Variety between and within sectors," Economics of Innovation and New Technology, Taylor & Francis Journals, vol. 12(6), pages 481-505.
    56. Souitaris, Vangelis, 2002. "Technological trajectories as moderators of firm-level determinants of innovation," Research Policy, Elsevier, vol. 31(6), pages 877-898, August.
    57. Anne Lorentzen, 2008. "Knowledge networks in local and global space," Entrepreneurship & Regional Development, Taylor & Francis Journals, vol. 20(6), pages 533-545.
    58. Krugman, Paul, 1981. "Trade, accumulation, and uneven development," Journal of Development Economics, Elsevier, vol. 8(2), pages 149-161, April.
    59. Marion Frenz & Grazia Ietto-Gillies, 2007. "Does Multinationality Affect the Propensity to Innovate? An Analysis of the Third UK Community Innovation Survey," International Review of Applied Economics, Taylor & Francis Journals, vol. 21(1), pages 99-117.
    60. M. Ozman, 2009. "Inter-firm networks and innovation: a survey of literature," Economics of Innovation and New Technology, Taylor & Francis Journals, vol. 18(1), pages 39-67.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Nguyen, Tam & Verreynne, Martie-Louise & Steen, John & Torres de Oliveira, Rui, 2023. "Government support versus international knowledge: Investigating innovations from emerging-market small and medium enterprises," Journal of Business Research, Elsevier, vol. 154(C).
    2. Ferreira, João J.M. & Fernandes, Cristina I. & Alves, Helena & Raposo, Mário L., 2015. "Drivers of innovation strategies: Testing the Tidd and Bessant (2009) model," Journal of Business Research, Elsevier, vol. 68(7), pages 1395-1403.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Fernandes, Cristina & Ferreira, João & Marques, Carla, 2011. "KIBS Innovation Management Capability in Rural Portuguese Regions: Empirical Evidence," MPRA Paper 47005, University Library of Munich, Germany.
    2. Fernandes, Cristina & Ferreira, João & Raposo, Mario, 2013. "Drivers to firm innovation and their effects on performance: An international comparison," MPRA Paper 46776, University Library of Munich, Germany.
    3. Noronha, Teresa, 2013. "KIBS in Peripheral Regions: Major Outlines," Spatial and Organizational Dynamics Discussion Papers 2013-4, CIEO-Research Centre for Spatial and Organizational Dynamics, University of Algarve.
    4. Faïz Gallouj & Maria Savona, 2009. "Innovation in services: a review of the debate and a research agenda," Journal of Evolutionary Economics, Springer, vol. 19(2), pages 149-172, April.
    5. Djellal, Faridah & Gallouj, Faïz & Miles, Ian, 2013. "Two decades of research on innovation in services: Which place for public services?," Structural Change and Economic Dynamics, Elsevier, vol. 27(C), pages 98-117.
    6. Alarcón, José Carlos & Aguilar, Rocio & Galán, Jose Luis, 2019. "Determinants of innovation output in Spanish knowledge-intensive service firms: Stability analysis throughout the economic crisis of 2008," Structural Change and Economic Dynamics, Elsevier, vol. 49(C), pages 228-244.
    7. Muller, Emmanuel & Doloreux, David, 2009. "What we should know about knowledge-intensive business services," Technology in Society, Elsevier, vol. 31(1), pages 64-72.
    8. Andreas Koch & Harald Strotmann, 2006. "Determinants of Innovative Activity in Newly Founded Knowledge Intensive Business Service Firms," International Studies in Entrepreneurship, in: Michael Fritsch & Juergen Schmude (ed.), Entrepreneurship in the Region, chapter 10, pages 195-224, Springer.
    9. Jeremy Howells, 2010. "Services and Innovation and Service Innovation: New Theoretical Directions," Chapters, in: Faïz Gallouj & Faridah Djellal (ed.), The Handbook of Innovation and Services, chapter 3, Edward Elgar Publishing.
    10. Faïz Gallouj & Maria Savona, 2010. "Towards a Theory of Innovation in Services: A State of the Art," Chapters, in: Faïz Gallouj & Faridah Djellal (ed.), The Handbook of Innovation and Services, chapter 1, Edward Elgar Publishing.
    11. Gallouj, Faïz, 2002. "Services innovation: assimilation, differentiation, inversion and integration," MPRA Paper 62174, University Library of Munich, Germany.
    12. Faridah Djellal & Faïz Gallouj, 2008. "Innovation in services and entrepreneurship: beyond industrialist and technologist concepts of sustainable development," Post-Print halshs-01113906, HAL.
    13. Matthias Firgo & Peter Mayerhofer, 2016. "Wissensintensive Unternehmensdienste, Wissens-Spillovers und regionales Wachstum. Teilprojekt 3: Zur Standortstruktur von wissensintensiven Unternehmensdiensten – Fakten, Bestimmungsgründe, regionalpo," WIFO Studies, WIFO, number 59427, April.
    14. Gotsch, Matthias & Hipp, Christiane & Gallego, J. & Rubalcaba, L., 2011. "Sectoral innovation performance in the knowledge intensive services," Working Paper Series 11, Brandenburg University of Technology (BTU Cottbus), Chair of Organization, Human Resource & General Management.
    15. Camisón, César & Monfort-Mir, Vicente M., 2012. "Measuring innovation in tourism from the Schumpeterian and the dynamic-capabilities perspectives," Tourism Management, Elsevier, vol. 33(4), pages 776-789.
    16. Maja Savic & Helen Lawton Smith & Ioannis Bournakis, 2014. "The effect of external knowledge sources and their geography on innovation in Knowledge Intensive Business Services (KIBS) SMEs; some Implications for de-industrialised regions in the UK," Working Papers 18, Birkbeck Centre for Innovation Management Research, revised Aug 2014.
    17. Rinaldo Evangelista & Maria Savona, 2010. "Innovation and Employment in Services," Chapters, in: Faïz Gallouj & Faridah Djellal (ed.), The Handbook of Innovation and Services, chapter 16, Edward Elgar Publishing.
    18. Gallouj, Faiz, 2002. "Innovation in services and the attendant old and new myths," Journal of Behavioral and Experimental Economics (formerly The Journal of Socio-Economics), Elsevier, vol. 31(2), pages 137-154.
    19. Julija Cerović Smolović & Sanja Janketić & Danijela Jaćimović & Maja Bučar & Metka Stare, 2018. "Montenegro’s Road to Sustainable Tourism Growth and Innovation," Sustainability, MDPI, vol. 10(12), pages 1-20, December.
    20. Trigo, Alexandre & Vence, Xavier, 2012. "Scope and patterns of innovation cooperation in Spanish service enterprises," Research Policy, Elsevier, vol. 41(3), pages 602-613.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:spr:svcbiz:v:9:y:2015:i:2:p:233-256. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Sonal Shukla or Springer Nature Abstracting and Indexing (email available below). General contact details of provider: http://www.springer.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.