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Impact Of Public Funding On A Firm'S Innovation Performance: Analysis Of Internal And External Moderating Factors

Author

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  • JOSE ALBORS-GARRIGOS

    (Universidad Politecnica de Valencia, Camino de Vera, s.n., 46022 Valencia, Spain)

  • ROSA RODRIGUEZ BARRERA

    (Universidad Politecnica de Valencia, Camino de Vera, s.n., 46022 Valencia, Spain)

Abstract

This paper analyses the effect of public subsidies on a firm's innovation performance. The research aims at filling two research gaps. First, it will try to analyse the effect of public source funding directly on a firm's innovation performance analysing not the effects on R&D investment or intensity but on the final results of the innovative effort, its outcome. Secondly, it will examine the mediating effects of various (internal and external to the firm innovative behaviour) factors which influence the whole innovation process and, though have been identified by literature, its effects have not yet been properly quantified.

Suggested Citation

  • Jose Albors-Garrigos & Rosa Rodriguez Barrera, 2011. "Impact Of Public Funding On A Firm'S Innovation Performance: Analysis Of Internal And External Moderating Factors," International Journal of Innovation Management (ijim), World Scientific Publishing Co. Pte. Ltd., vol. 15(06), pages 1297-1322.
    • Handle: RePEc:wsi:ijimxx:v:15:y:2011:i:06:n:s136391961100374x
    DOI: 10.1142/S136391961100374X
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    References listed on IDEAS

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    1. Petr Hanel, 2003. "Impact Of Government Support Programs On Innovation By Canadian Manufacturing Firms," Cahiers de recherche 04-02, Departement d'économique de l'École de gestion à l'Université de Sherbrooke.
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    3. DUGUET Emmanuel, 2004. "Are R&D subsidies a substitute or a complement to privately funded R&D? Evidence from France using propensity score methods for non- experimental data," Public Economics 0411007, University Library of Munich, Germany.
    4. Joseph E. Stiglitz, 1991. "The Invisible Hand and Modern Welfare Economics," NBER Working Papers 3641, National Bureau of Economic Research, Inc.
    5. Schneider, Cedric & Veugelers, Reinhilde, 2008. "On Young Innovative Companies: Why they matter and how (not) to policy support them," Working Papers 04-2008, Copenhagen Business School, Department of Economics.
    6. Cédric Schneider & Reinhilde Veugelers, 2010. "On young highly innovative companies: why they matter and how (not) to policy support them," Industrial and Corporate Change, Oxford University Press and the Associazione ICC, vol. 19(4), pages 969-1007, August.
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    Cited by:

    1. Vassilis Kanellopoulos & Kostas Tsekouras, 2023. "Innovation efficiency and firm performance in a benchmarking context," Managerial and Decision Economics, John Wiley & Sons, Ltd., vol. 44(1), pages 137-151, January.
    2. Berné-Martínez, J.M. & Arnal-Pastor, María & Llopis-Amorós, María-Pilar, 2021. "Reacting to the paradigm shift: QCA study of the factors shaping innovation in publishing, information services, advertising and market research activities in the European Union," Technological Forecasting and Social Change, Elsevier, vol. 162(C).
    3. Torregrosa-Hetland, Sara & Pelkonen, Antti & Oksanen, Juha & Kander, Astrid, 2019. "The prevalence of publicly stimulated innovations –A comparison of Finland and Sweden, 1970–2013," Research Policy, Elsevier, vol. 48(6), pages 1373-1384.
    4. Stojčić, Nebojša & Srhoj, Stjepan & Coad, Alex, 2020. "Innovation procurement as capability-building: Evaluating innovation policies in eight Central and Eastern European countries," European Economic Review, Elsevier, vol. 121(C).
    5. Lewandowska Małgorzata Stefania & Weresa Marzenna Anna & Rószkiewicz Małgorzata, 2022. "Evaluating the impact of public financial support on innovation activities of European Union enterprises: Additionality approach," International Journal of Management and Economics, Warsaw School of Economics, Collegium of World Economy, vol. 58(3), pages 248-266, September.
    6. Torres-Barreto, Martha Liliana & Charry, Yojan Sebastián Medina & Alvarez-Melgarejo, Mileidy, 2021. "Business innovations and their key factors: public funding, human capital, and their relationships with the industrial environment," Revista Tendencias, Universidad de Narino, vol. 22(2), pages 264-287, July.
    7. Basit Shoaib Abdul & Kuhn Thomas & Ahmed Mumtaz, 2018. "The Effect of Government Subsidy on Non-Technological Innovation and Firm Performance in the Service Sector: Evidence from Germany," Business Systems Research, Sciendo, vol. 9(1), pages 118-137, March.
    8. Giuseppina Testa & Katarzyna Szkuta, 2018. "Improving access to finance for young innovative enterprises with growth potential: evidence of impact on firms' output - Part 2. R&D grant schemes: lessons learned from evaluations," JRC Research Reports JRC109879, Joint Research Centre.
    9. Kiman Kim & Sang Ok Choi & Sooyeon Lee, 2021. "The Effect of a Financial Support on Firm Innovation Collaboration and Output: Does Policy Work on the Diverse Nature of Firm Innovation?," Journal of the Knowledge Economy, Springer;Portland International Center for Management of Engineering and Technology (PICMET), vol. 12(2), pages 645-675, June.
    10. Duong, Phuong-Anh Nguyen & Voordeckers, Wim & Huybrechts, Jolien & Lambrechts, Frank, 2022. "On external knowledge sources and innovation performance: Family versus non-family firms," Technovation, Elsevier, vol. 114(C).
    11. Dulcineia Catarina Moura & Maria José Madeira & Filipe A. P. Duarte, 2019. "Cooperation In The Field Of Innovation, Absorptive Capacity, Public Financial Support And Determinants Of The Innovative Performance Of Enterprise," International Journal of Innovation Management (ijim), World Scientific Publishing Co. Pte. Ltd., vol. 24(04), pages 1-28, July.

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