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Firms’ innovation benefiting from networking and institutional support: A global analysis of national and firm effects

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  • Schøtt, Thomas
  • Jensen, Kent Wickstrøm

Abstract

Firms’ networking for innovation is embedded in institutions of society, where national policies are increasingly designed to provide institutional support for firms’ networking and thereby benefit innovation. But, globally, what are the quantitative and qualitative effects of institutional support for networking and, in turn, for innovation? 68 countries with 18,880 firms were surveyed in the Global Entrepreneurship Monitor, enabling generalization to the firms in the countries around the world. Two-level modeling shows that firms’ networking benefits both process and product innovation. Institutional support does not significantly affect quantity of networking, but greatly enhances quality of networking in the sense that support for networking in a country enhances the benefits of networking for both process and product innovation. Contrasting low and high support for networking leads to estimating that institutional support for networking can increase the benefits of networking considerably for both process and product innovation.

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  • Schøtt, Thomas & Jensen, Kent Wickstrøm, 2016. "Firms’ innovation benefiting from networking and institutional support: A global analysis of national and firm effects," Research Policy, Elsevier, vol. 45(6), pages 1233-1246.
    • Handle: RePEc:eee:respol:v:45:y:2016:i:6:p:1233-1246
    DOI: 10.1016/j.respol.2016.03.006
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