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Modelling the effect of national culture on countries' innovation performances: A conditional full frontier approach

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  • George E. Halkos
  • Nickolaos G. Tzeremes

Abstract

This paper provides empirical evidence of the link between countries' cultural factors and innovation performance. By defining innovation process in a knowledge production framework it uses conditional and unconditional Data Envelopment Analysis (DEA) models together with data from the European Innovation Scoreboard for the year 2007 and Hofstede's cultural indexes. In this way it models and measures the effect of cultural values on 25 European countries' innovation efficiency levels. The empirical results reveal that national culture can impact countries' innovation performance. Specifically, we find significant negative effects on countries' innovation efficiency levels for countries with higher power distance and uncertainty avoidance values.

Suggested Citation

  • George E. Halkos & Nickolaos G. Tzeremes, 2013. "Modelling the effect of national culture on countries' innovation performances: A conditional full frontier approach," International Review of Applied Economics, Taylor & Francis Journals, vol. 27(5), pages 656-678, September.
  • Handle: RePEc:taf:irapec:v:27:y:2013:i:5:p:656-678
    DOI: 10.1080/02692171.2013.778819
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    Cited by:

    1. Ayşe Şolpan Temiz & Bilge Yiğit Özkan & Ahmet Şevket Üçer, 2016. "A Product-Based Strategic Technology Management Methodology for Developing Countries," International Journal of Innovation and Technology Management (IJITM), World Scientific Publishing Co. Pte. Ltd., vol. 13(02), pages 1-24, April.
    2. Bădin, Luiza & Daraio, Cinzia & Simar, Léopold, 2019. "A bootstrap approach for bandwidth selection in estimating conditional efficiency measures," European Journal of Operational Research, Elsevier, vol. 277(2), pages 784-797.
    3. Halkos, George & Petrou, Kleoniki Natalia, 2018. "‘Waste culture’ assessment using Hofstede’s and Schwartz’s cultural dimensions – an EU case study," MPRA Paper 90506, University Library of Munich, Germany.

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