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How can firm benefit from access to knowledge-intensive producer services?

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Author Info

  • Johansson , Börje

    ()
    (CESIS - Centre of Excellence for Science and Innovation Studies, Royal Institute of Technology)

  • Lööf , Hans

    ()
    (CESIS - Centre of Excellence for Science and Innovation Studies, Royal Institute of Technology)

  • Nabavi, Pardis

    ()
    (CESIS - Centre of Excellence for Science and Innovation Studies, Royal Institute of Technology)

Abstract

This paper empirically examines how systematic differences in firm productivity can be explained by a firm’s cumulated internal knowledge and access to external knowledge in its environment. To capture this conjunction of internal and external knowledge we use information about 5,000 Swedish firms in 290 municipalities and 72 functional regions and we use detailed information about individual firms’ accessibility to knowledge-intensive producer services. In addition, we observe the long-run frequency of R&D and innovation engagement for all these firms through 74.000 patent applications and three Community Innovation Surveys. Our panel data estimates for the period 1997-2008, suggest that only firms which commit themselves to accumulation of internal knowledge benefit from being located in places with a large mass of external knowledge. We also find strong evidence that innovators are more productive than other firms across all locations.

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Bibliographic Info

Paper provided by Royal Institute of Technology, CESIS - Centre of Excellence for Science and Innovation Studies in its series Working Paper Series in Economics and Institutions of Innovation with number 283.

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Length: 36 pages
Date of creation: 26 Sep 2012
Date of revision:
Handle: RePEc:hhs:cesisp:0283

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Postal: CESIS - Centre of Excellence for Science and Innovation Studies, Royal Institute of Technology, SE-100 44 Stockholm, Sweden
Phone: +46 8 790 95 63
Web page: http://www.infra.kth.se/cesis/
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Related research

Keywords: Innovation; Spillovers; Accessibility; Productivity; Patent; Community Innovation Survey;

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Cited by:
  1. Lööf, Hans & Nabavi, Pardis, 2013. "Learning and Productivity of Swedish Exporting Firms: The importance of Innovation Efforts and the Geography of Innovation," Working Paper Series in Economics and Institutions of Innovation 296, Royal Institute of Technology, CESIS - Centre of Excellence for Science and Innovation Studies.
  2. Palmberg, Johanna, 2013. "Spontaneous Orders and the Emergence of Economically Powerful Cities," Working Paper Series in Economics and Institutions of Innovation 310, Royal Institute of Technology, CESIS - Centre of Excellence for Science and Innovation Studies.

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