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Innovation and Performance: The Impact of Investments in R&D According to the Different Levels of Productivity of Firms

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  • Carlos Alano Soares de Almeida

    (Departamento de Agrotecnologia e Ciências Sociais, Universidade Federal Rural do Semi-Árido (UFERSA), Av. Francisco Mota, 572 Costa e Silva, 59625-900-Mossoró, RN, Brazil)

  • Jansen Maia Del Corso

    (Business School Postgraduate Program, Pontifícia Universidade Católica do Paraná (PUCPR), Imaculada Conceição, 1155, 80215-901, Curitiba, PR, Brazil)

  • Leonardo Andrade Rocha

    (Departamento de Agrotecnologia e Ciências Sociais, Universidade Federal Rural do Semi-Árido (UFERSA), Av. Francisco Mota, 572 Costa e Silva, 59625-900-Mossoró, RN, Brazil)

  • Wesley Vieira da Silva

    (Departamento de Engenharia de Produção e Sistemas, Universidade Federal de Santa Maria (UFSM), Av. Roraima n° 1000, Cidade Universitária, 97105-900, Santa Maria, RS, Brazil)

  • Claudimar Pereira da Veiga

    (DAGA- Escola de Administração, Universidade Federal do Paraná (UFPR), 632 Lothário Meissner Ave, Jardim Botânico, 80210-170, Curitiba, PR, Brazil)

Abstract

The objective of this paper is to verify how investments in R&D influence the measures of performance (sales and operating profit) of companies. Based on the EU Industrial R&D Investment Scoreboard, a 2003–2013 information panel was developed for 548 companies. Regression with panel data and Quantile Regression were used. The results indicate that investments in R&D positively influence sales and operating profit of companies as a whole, varies according to the R&D intensity when companies are analyzed in groups and that the distance from the frontier influences the relationship between R&D and performance. The companies of the upper quantiles have better relation R&D and profit than the companies more distant from the frontier. Companies with higher profit can transform R&D investments more efficiently into profit.

Suggested Citation

  • Carlos Alano Soares de Almeida & Jansen Maia Del Corso & Leonardo Andrade Rocha & Wesley Vieira da Silva & Claudimar Pereira da Veiga, 2019. "Innovation and Performance: The Impact of Investments in R&D According to the Different Levels of Productivity of Firms," International Journal of Innovation and Technology Management (IJITM), World Scientific Publishing Co. Pte. Ltd., vol. 16(05), pages 1-21, August.
    • Handle: RePEc:wsi:ijitmx:v:16:y:2019:i:05:n:s0219877019500366
    DOI: 10.1142/S0219877019500366
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