IDEAS home Printed from https://ideas.repec.org/a/zbw/espost/210471.html
   My bibliography  Save this article

Corporate R&D and the performance of food-processing firms: Evidence from Europe, Japan and North America

Author

Listed:
  • Hockmann, Heinrich
  • Garzon Delvaux, Pedro Andres
  • Voigt, Peter
  • Ciaian, Pavel
  • Gomez y Paloma, Sergio

Abstract

This paper investigates the impact of corporate research and development (R&D) on firm performance in the food-processing industry. We apply Data Envelopment Analysis (DEA) with two step bootstrapping using a corporate data for 307 food-processing firms from the EU, US, Canada and Japan for the period 1991-2009. The estimates suggest that R&D has a positive effect on the firms’ performance, with marginal gains decreasing in the R&D level as well as the performance differences are detected across regions and food sectors. R&D investments in food processing can deliver productivity gains, beyond the high-tech sectors generally favoured by innovation policy.

Suggested Citation

  • Hockmann, Heinrich & Garzon Delvaux, Pedro Andres & Voigt, Peter & Ciaian, Pavel & Gomez y Paloma, Sergio, 2018. "Corporate R&D and the performance of food-processing firms: Evidence from Europe, Japan and North America," EconStor Open Access Articles and Book Chapters, ZBW - Leibniz Information Centre for Economics, vol. 7(3), pages 233-247.
    • Handle: RePEc:zbw:espost:210471
    DOI: 10.13128/bae-7677
    as

    Download full text from publisher

    File URL: https://www.econstor.eu/bitstream/10419/210471/1/Hockman_2018_food_processing_firms.pdf
    Download Restriction: no
    File URL: https://libkey.io/10.13128/bae-7677?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
    ---><---

    Other versions of this item:

    References listed on IDEAS

    as
    1. Fuglie, Keith O. & Heisey, Paul W. & King, John L. & Day-Rubenstein, Kelly & Schimmelpfennig, David & Wang, Sun Ling, 2011. "Research Investments and Market Structure in the Food Processing, Agricultural Input, and Biofuel Industries Worldwide: Executive Summary," Economic Information Bulletin 291936, United States Department of Agriculture, Economic Research Service.
    2. Gopinath, Munisamy & Vasavada, Utpal, 1999. "Patents, R&D, And Market Structure In The U.S. Food Processing Industry," Journal of Agricultural and Resource Economics, Western Agricultural Economics Association, vol. 24(1), pages 1-13, July.
    3. Hockmann, Heinrich & Garzon Delvaux, Pedro Andres & Voigt, Peter & Ciaian, Pavel & Gomez y Paloma, Sergio, 2018. "Corporate R&D and the performance of food-processing firms: Evidence from Europe, Japan and North America," EconStor Open Access Articles and Book Chapters, ZBW - Leibniz Information Centre for Economics, vol. 7(3), pages 233-247.
    4. G. M.P. Swann, 2009. "The Economics of Innovation," Books, Edward Elgar Publishing, number 13211.
    5. Bronwyn H. Hall, 2010. "Measuring the Returns to R&D: The Depreciation Problem," NBER Chapters, in: Contributions in Memory of Zvi Griliches, pages 341-381, National Bureau of Economic Research, Inc.
    6. Nadiri, M Ishaq & Prucha, Ingmar R, 1996. "Estimation of the Depreciation Rate of Physical and R&D Capital in the U.S. Total Manufacturing Sector," Economic Inquiry, Western Economic Association International, vol. 34(1), pages 43-56, January.
    7. Koop, Gary & Osiewalski, Jacek & Steel, Mark F J, 2000. "Modeling the Sources of Output Growth in a Panel of Countries," Journal of Business & Economic Statistics, American Statistical Association, vol. 18(3), pages 284-299, July.
    8. Schankerman, Mark & Pakes, Ariel, 1986. "Estimates of the Value of Patent Rights in European Countries during the Post-1950 Period," Economic Journal, Royal Economic Society, vol. 96(384), pages 1052-1076, December.
    9. Bruno Crepon & Emmanuel Duguet & Jacques Mairesse, 1998. "Research, Innovation And Productivity: An Econometric Analysis At The Firm Level," Economics of Innovation and New Technology, Taylor & Francis Journals, vol. 7(2), pages 115-158.
    10. Hector Hernandez Guevara & Fernando Hervas Soriano & Alexander Tuebke & Antonio Vezzani & Mafini Dosso & Sara Amoroso & Nicola Grassano & Alexander Coad & Petros Gkotsis, 2015. "The 2015 EU Industrial R&D Investment Scoreboard," JRC Research Reports JRC98287, Joint Research Centre.
    11. Hector Hernandez & Nicola Grassano & Alexander Tuebke & Lesley Potters & Sara Amoroso & Mafini Dosso & Petros Gkotsis & Antonio Vezzani, 2017. "The 2017 EU Industrial R&D Investment Scoreboard," JRC Research Reports JRC108520, Joint Research Centre.
    12. Hall, Bronwyn H. & Mairesse, Jacques, 1995. "Exploring the relationship between R&D and productivity in French manufacturing firms," Journal of Econometrics, Elsevier, vol. 65(1), pages 263-293, January.
    13. Ornella W. Maietta & Cristian Barra & Roberto Zotti, 2017. "Innovation and University-Firm R&D Collaboration in the European Food and Drink Industry," Journal of Agricultural Economics, Wiley Blackwell, vol. 68(3), pages 749-780, September.
    14. Yasmina Reem Limam & Stephen M. Miller, 2004. "Explaining Economic Growth: Factor Accumulation, Total Factor Productivity Growth, and Production Efficiency Improvement," Working papers 2004-20, University of Connecticut, Department of Economics.
    15. Hector Hernandez Guevara & Nicola Grassano & Alexander Tuebke & Sara Amoroso & Zoltan Csefalvay & Petros Gkotsis, 2019. "The 2019 EU Industrial R&D Investment Scoreboard," JRC Research Reports JRC118983, Joint Research Centre.
    16. Maria Laura Parisi & Fabio Schiantarelli & Alessandro Sembenelli, 2002. "Productivity, Innovation Creation and Absorption, and R&D: Micro Evidence for Italy," Boston College Working Papers in Economics 526, Boston College Department of Economics.
    17. Raquel Ortega-Argilés & Lesley Potters & Peter Voigt, 2009. "R&D-intensive SMEs in Europe: What do we know about them?," JRC Working Papers on Corporate R&D and Innovation 2009-15, Joint Research Centre.
    18. Fernando Hervas Soriano & Alexander Tuebke & Nicola Grassano & Alexander Coad, 2015. "The 2015 EU Survey on Industrial R&D Investment Trends," JRC Research Reports JRC98214, Joint Research Centre.
    19. Crepon, B. & Duguet, E. & Mairesse, J., 1998. "Research Investment, Innovation and Productivity: An Econometric Analysis at the Firm Level," Papiers d'Economie Mathématique et Applications 98.15, Université Panthéon-Sorbonne (Paris 1).
    20. Acosta, Manuel & Coronado, Daniel & Romero, Carlos, 2015. "Linking public support, R&D, innovation and productivity: New evidence from the Spanish food industry," Food Policy, Elsevier, vol. 57(C), pages 50-61.
    21. Bronwyn H. Hall & Nathan Rosenberg (ed.), 2010. "Handbook of the Economics of Innovation," Handbook of the Economics of Innovation, Elsevier, edition 1, volume 1, number 1.
    22. Matthew A. Andersen & Wenxing Song, 2013. "The Economic impact of public agricultural research and development in the United States," Agricultural Economics, International Association of Agricultural Economists, vol. 44(3), pages 287-295, May.
    23. Simar, Leopold & Wilson, Paul W., 2007. "Estimation and inference in two-stage, semi-parametric models of production processes," Journal of Econometrics, Elsevier, vol. 136(1), pages 31-64, January.
    24. Menrad, K., 2004. "Innovations in the food industry in Germany," Research Policy, Elsevier, vol. 33(6-7), pages 845-878, September.
    25. Julian M. Alston, 2010. "The Benefits from Agricultural Research and Development, Innovation, and Productivity Growth," OECD Food, Agriculture and Fisheries Papers 31, OECD Publishing.
    26. Charles R. Hulten, 1991. "The Measurement of Capital," NBER Chapters, in: Fifty Years of Economic Measurement: The Jubilee of the Conference on Research in Income and Wealth, pages 119-158, National Bureau of Economic Research, Inc.
    27. Luis Orea & Subal C. Kumbhakar, 2004. "Efficiency measurement using a latent class stochastic frontier model," Empirical Economics, Springer, vol. 29(1), pages 169-183, January.
    28. Pedro Andres Garzon Delvaux & Heinrich Hockmann & Peter Voigt & Pavel Ciaian & Sergio Gomez y Paloma, 2018. "The impact of private R&D on the performance of food-processing firms: Evidence from Europe, Japan and North America," JRC Research Reports JRC104144, Joint Research Centre.
    29. repec:fth:harver:1487 is not listed on IDEAS
    30. Thomas Hatzichronoglou, 1997. "Revision of the High-Technology Sector and Product Classification," OECD Science, Technology and Industry Working Papers 1997/2, OECD Publishing.
    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. Hockmann, Heinrich & Garzon Delvaux, Pedro Andres & Voigt, Peter & Ciaian, Pavel & Gomez y Paloma, Sergio, 2018. "Corporate R&D and the performance of food-processing firms: Evidence from Europe, Japan and North America," EconStor Open Access Articles and Book Chapters, ZBW - Leibniz Information Centre for Economics, vol. 7(3), pages 233-247.

    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. Pedro Andres Garzon Delvaux & Heinrich Hockmann & Peter Voigt & Pavel Ciaian & Sergio Gomez y Paloma, 2018. "The impact of private R&D on the performance of food-processing firms: Evidence from Europe, Japan and North America," JRC Research Reports JRC104144, Joint Research Centre.
    2. Subal Kumbhakar & Raquel Ortega-Argilés & Lesley Potters & Marco Vivarelli & Peter Voigt, 2012. "Corporate R&D and firm efficiency: evidence from Europe’s top R&D investors," Journal of Productivity Analysis, Springer, vol. 37(2), pages 125-140, April.
    3. Raquel Ortega-Argilés & Lesley Potters & Marco Vivarelli, 2011. "R&D and productivity: testing sectoral peculiarities using micro data," Empirical Economics, Springer, vol. 41(3), pages 817-839, December.
    4. Ortega-Argilés, Raquel & Piva, Mariacristina & Vivarelli, Marco, 2011. "Productivity Gains from R&D Investment: Are High-Tech Sectors Still Ahead?," IZA Discussion Papers 5975, Institute of Labor Economics (IZA).
    5. Raquel Ortega‐Argilés & Mariacristina Piva & Marco Vivarelli, 2014. "The transatlantic productivity gap: Is R&D the main culprit?," Canadian Journal of Economics/Revue canadienne d'économique, John Wiley & Sons, vol. 47(4), pages 1342-1371, November.
    6. Hall, Bronwyn H. & Mairesse, Jacques & Mohnen, Pierre, 2010. "Measuring the Returns to R&D," Handbook of the Economics of Innovation, in: Bronwyn H. Hall & Nathan Rosenberg (ed.), Handbook of the Economics of Innovation, edition 1, volume 2, chapter 0, pages 1033-1082, Elsevier.
    7. Ortega-Argilés, Raquel & Piva, Mariacristina & Potters, Lesley & Vivarelli, Marco, 2009. "Is Corporate R&D Investment in High-Tech Sectors More Effective? Some Guidelines for European Research Policy," IZA Discussion Papers 3945, Institute of Labor Economics (IZA).
    8. Baumann, Julian & Kritikos, Alexander S., 2016. "The link between R&D, innovation and productivity: Are micro firms different?," Research Policy, Elsevier, vol. 45(6), pages 1263-1274.
    9. Davide Castellani & Mariacristina Piva & Torben Schubert & Marco Vivarelli, 2018. "The source of the US /EU Productivity Gap:Less and less effective R&D," LEM Papers Series 2018/16, Laboratory of Economics and Management (LEM), Sant'Anna School of Advanced Studies, Pisa, Italy.
    10. MARSCHINSKI Robert & DE AMORES HERNANDEZ Antonio & AMOROSO Sara & BAUER Peter & CARDANI Roberta & CSEFALVAY Zoltan & GENTY Aurelien & GKOTSIS Petros & GREGORI Wildmer & GRASSANO Nicola & HERNANDEZ GUE, 2021. "EU competitiveness: recent trends, drivers, and links to economic policy: A Synthesis Report," JRC Research Reports JRC123232, Joint Research Centre.
    11. Castellani, Davide & Piva, Mariacristina & Schubert, Torben & Vivarelli, Marco, 2019. "R&D and productivity in the US and the EU: Sectoral specificities and differences in the crisis," Technological Forecasting and Social Change, Elsevier, vol. 138(C), pages 279-291.
    12. Pierre Mohnen & Bronwyn Hall, 2013. "Innovation and Productivity: An Update," Eurasian Business Review, Springer;Eurasia Business and Economics Society, vol. 3(1), pages 47-65, June.
    13. Gaétan de Rassenfosse & Adam B. Jaffe, 2017. "Econometric Evidence on the R&D Depreciation Rate," NBER Working Papers 23072, National Bureau of Economic Research, Inc.
    14. Burcu Fazlıoğlu & Başak Dalgıç & Ahmet Burçin Yereli, 2019. "The effect of innovation on productivity: evidence from Turkish manufacturing firms," Industry and Innovation, Taylor & Francis Journals, vol. 26(4), pages 439-460, April.
    15. Bos, J.W.B. & Economidou, C. & Koetter, M., 2010. "Technology clubs, R&D and growth patterns: Evidence from EU manufacturing," European Economic Review, Elsevier, vol. 54(1), pages 60-79, January.
    16. Herstad, Sverre J. & Sandven, Tore & Ebersberger, Bernd, 2015. "Recruitment, knowledge integration and modes of innovation," Research Policy, Elsevier, vol. 44(1), pages 138-153.
    17. Yvonne McNulty & Chris Brewster, 2016. "Theorizing the Meaning(s) of 'Expatriate': Establishing Boundary Conditions," John H Dunning Centre for International Business Discussion Papers jhd-dp2016-05, Henley Business School, University of Reading.
    18. Christian Rammer & Gastón P Fernández & Dirk Czarnitzki, 2021. "Artificial Intelligence and Industrial Innovation: Evidence from Firm-Level Data," Working Papers of Department of Economics, Leuven 674605, KU Leuven, Faculty of Economics and Business (FEB), Department of Economics, Leuven.
    19. Antonelli, Cristiano, 2017. "Digital knowledge generation and the appropriability trade-off," Telecommunications Policy, Elsevier, vol. 41(10), pages 991-1002.
    20. Andrés Barge-Gil & Alberto López, 2015. "R versus D: estimating the differentiated effect of research and development on innovation results," Industrial and Corporate Change, Oxford University Press and the Associazione ICC, vol. 24(1), pages 93-129.

    More about this item

    Keywords

    Corporate R&D; DEA; double bootstrapping; food-processing industry;
    All these keywords.

    JEL classification:

    • O30 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - General
    • L66 - Industrial Organization - - Industry Studies: Manufacturing - - - Food; Beverages; Cosmetics; Tobacco

    Statistics

    Access and download statistics

    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:zbw:espost:210471. 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: ZBW - Leibniz Information Centre for Economics (email available below). General contact details of provider: https://edirc.repec.org/data/zbwkide.html .

    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.