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Innovation patterns in German industry in 2000 and 2001

Author

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  • Horst Penzkofer

Abstract

According to the results of the recent Ifo Innovation Survey, German industry has sufficient innovation potential to meet the challenges in a broad field of technologies. Every year between 55% and 60% of the enterprises implement product and/or process innovations; measured in terms of employees this is approximately three quarters of the enterprises. The turnover share of product innovations in the market launch stage remained relatively stable last year at more than 10%, which means that innovation efforts did not decrease. The results of the special question on innovation in the Ifo Business Survey revealed that 52% of the enterprises assessed their markets as high-growth markets at the beginning this year. A further 35% of the German industrial firms responded that they are active in markets that have the potential of generating economic profits vital for the future protection of the enterprise based on innovations. However, the high share of innovative firms in German industry should not conceal the fact that the exhaustion of present innovation potential is increasingly threatened by higher innovation costs in connection with intensified competition. Other constraints in the realisation of innovation projects are financial bottlenecks, difficulties in finding suitable employees for R&D, and administrative barriers.

Suggested Citation

  • Horst Penzkofer, 2002. "Innovation patterns in German industry in 2000 and 2001," ifo Schnelldienst, ifo Institute - Leibniz Institute for Economic Research at the University of Munich, vol. 55(12), pages 14-20, June.
    • Handle: RePEc:ces:ifosdt:v:55:y:2002:i:12:p:14-20
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    References listed on IDEAS

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    1. Horst Penzkofer & Heinz Schmalholz, 1994. "Innovationsaktivitäten der Industrie in Sachsen," ifo Dresden berichtet, ifo Institute - Leibniz Institute for Economic Research at the University of Munich, vol. 1(02), pages 34-36, October.
    2. Horst Penzkofer, 2000. "Innovationsverhalten der deutschen Industrie," ifo Schnelldienst, ifo Institute - Leibniz Institute for Economic Research at the University of Munich, vol. 53(22-23), pages 25-33, August.
    3. Horst Penzkofer & Heinz Schmalholz, 2002. "Innovationsverhalten der ostdeutschen Industrie," ifo Dresden berichtet, ifo Institute - Leibniz Institute for Economic Research at the University of Munich, vol. 9(03), pages 43-45, 09.
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    More about this item

    JEL classification:

    • L60 - Industrial Organization - - Industry Studies: Manufacturing - - - General
    • O31 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Innovation and Invention: Processes and Incentives

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