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R&D Internationalization, R&D Collaboration and Public Knowledge Institutions in Small Economies Evidence from Finland and the Netherlands

  • Cees van Beers
  • Elina Berghäll
  • Tom Poot

This paper investigates innovating firms’ determinants of R&D collaboration with domestic universities and public knowledge institutes in Finland and the Netherlands. Three questions – relevant for innovation policies - constitute the central part of this paper. First, are innovating foreign firms less or more involved in R&D co-operation with domestic public knowledge institutions than innovating domestic firms? Second, do innovating firms that are open to their external knowledge environment have a higher probability to co-operate with public partners than firms that are not or less open? Third, are public knowledge institutions in Finland and the Netherlands attractive R&D partners to innovative firms? Based on data from Community Innovation Surveys we find that foreign firms in the Netherlands are less likely to co-operate with domestic public knowledge institutions than domestic firms, while in Finland no significant difference can be detected. With regard to the second question our findings show that openness of innovating firms is an important determinant of R&D collaboration in both countries. Finally, the empirical results show that knowledge of public partners is considered useful by innovating firms to transform own ideas into concrete innovations in Finland, but not in the Netherlands. However, the type of knowledge – fundamental or applied - is important for R&D collaboration with Dutch public partners, but not for co-operating with Finnish public partners. This raises the issue whether Finnish innovation policies with a strong focus on R&D co-operation provide incentives for domestic public partners to put more emphasis on applied research.

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Paper provided by DRUID, Copenhagen Business School, Department of Industrial Economics and Strategy/Aalborg University, Department of Business Studies in its series DRUID Working Papers with number 07-12.

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Date of creation: 2007
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Handle: RePEc:aal:abbswp:07-12
Contact details of provider: Web page: http://www.druid.dk/

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  1. Wesley M. Cohen & Richard R. Nelson & John P. Walsh, 2002. "Links and Impacts: The Influence of Public Research on Industrial R&D," Management Science, INFORMS, vol. 48(1), pages 1-23, January.
  2. von Zedtwitz, Maximilian & Gassmann, Oliver, 2002. "Market versus technology drive in R&D internationalization: four different patterns of managing research and development," Research Policy, Elsevier, vol. 31(4), pages 569-588, May.
  3. Cassiman, Bruno & Veugelers, Reinhilde, 1999. "R&D Cooperation and Spillovers: Some Empirical Evidence," CEPR Discussion Papers 2330, C.E.P.R. Discussion Papers.
  4. Adams, James D, 1990. "Fundamental Stocks of Knowledge and Productivity Growth," Journal of Political Economy, University of Chicago Press, vol. 98(4), pages 673-702, August.
  5. Hall, Browyn H. & Link, Albert N. & Scott, John T., 2000. "Universities as Research Partners," Department of Economics, Working Paper Series qt1np920r9, Department of Economics, Institute for Business and Economic Research, UC Berkeley.
  6. Cohen, Wesley M & Levinthal, Daniel A, 1989. "Innovation and Learning: The Two Faces of R&D," Economic Journal, Royal Economic Society, vol. 99(397), pages 569-96, September.
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