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Knowing brown and inventing green? Incremental and radical innovative activities in the automotive sector

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  • Julia Mazzei
  • Tommaso Rughi
  • Maria Enrica Virgillito

Abstract

The development of low emission vehicles (LEVs) represents a typical case of technological competition between two green trajectories. On the one hand, the incremental trajectory aims at improving the efficiency of the dominant design, greening the internal combustion engine (ICEG). On the other hand, the radical trajectory targets the progress of hybrid, electric and fuel cell vehicles (HEF). This paper studies the innovative behaviours of firms in the automotive sector patenting in both trajectories. It investigates the extent to which technological leadership in green patents is rooted in firms’ knowledge and capabilities accumulated in brown domains. Using a novel dataset of automotive firms with patenting activity at the United States Patent and Trademark Office (USPTO) between 2001 and 2018, we find that related ‘brown knowledge’ denotes leadership in green trajectories.

Suggested Citation

  • Julia Mazzei & Tommaso Rughi & Maria Enrica Virgillito, 2023. "Knowing brown and inventing green? Incremental and radical innovative activities in the automotive sector," Industry and Innovation, Taylor & Francis Journals, vol. 30(7), pages 824-863, August.
    • Handle: RePEc:taf:indinn:v:30:y:2023:i:7:p:824-863
    DOI: 10.1080/13662716.2023.2230159
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    Cited by:

    1. Rughi, Tommaso & Staccioli, Jacopo & Virgillito, Maria Enrica, 2025. "Labour-saving heuristics in green patents: A natural language processing analysis," Ecological Economics, Elsevier, vol. 230(C).
    2. Perri, Alessandra & Silvestri, Daniela & Zirpoli, Francesco, 2025. "Technological change, incumbent dominance, and knowledge base evolution in multi-technology industries: A patent analysis of the global automotive sector," Research Policy, Elsevier, vol. 54(9).
    3. Sirin, Selahattin Murat, 2025. "The green transition and tech firms' financial performance: Insights from patent data," Global Finance Journal, Elsevier, vol. 65(C).
    4. Armanda Cetrulo & Giovanni Dosi & Angelo Moro & Linnea Nelli & Maria Enrica Virgillito, 2023. "Automation, digitalization and decarbonization in the European automotive industry: a roadmap towards a just transition," LEM Papers Series 2023/36, Laboratory of Economics and Management (LEM), Sant'Anna School of Advanced Studies, Pisa, Italy.

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