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Comparing the Innovation Performance in Canadian, French and German Manufacturing Enterprises

  • Pierre Mohnen
  • Pierre Therrien

This paper compares pairwise the innovation performance of Canada with France and Germany, respectively. The comparison is based on two ordered probit models with sample selection, one where innovation is measured by the introduction of new-to-the firm products and one where it is measured by the introduction of new-to-the market products. The econometric analysis attempts to explain part of the country differences as the result of the sectoral composition of output, and the effects of size, environment conditions (proximity to basic research and competition) and innovation activities (internal R&D, the number of innovation activities, cooperation and government support). The Canadian firms benefit from being larger and more numerous in receiving government support, but suffer from a lack of competition and internal R&D. These structural effects combined, while informative, are not enough to explain a lot of the basic pattern of innovation revealed by the raw data. If we take the stronger measure of first-to-market innovation as a yardstick of innovation, the observed pairwise country differences are less strong, and our model explains a little bit more of the observed differences. Cette étude compare les performances d'innovation entre le Canada et la France d'une part, et entre le Canada et l'Allemagne d'autre part. La comparaison repose sur deux modèles de probit ordonné avec sélection. Le premier mesure l'innovation par l'introduction sur le marché de produits nouveaux pour la firme, le second par l'introduction de produits nouveaux pour le marché. L'analyse économétrique essaye d'expliquer une partie des différences nationales d'innovation par la composition sectorielle de la production, l'effet taille, les conditions environnementales (proximité de la recherche de base et concurrence) et les activités d'innovation (R-D interne, nombre d'activités innovantes, coopération et support gouvernemental). Les firmes canadiennes tirent avantage de leur plus grande taille et sont plus nombreuses à recevoir du support gouvernemental. Par contre, elles souffrent du manque de concurrence et de R-D interne. Au total, la prise en compte de ces effets structurels est certes révélatrice, mais n'explique qu'une faible partie des différences bilatérales dans les processus d'innovation. La mesure plus forte d'innovation par l'introduction de produits nouveaux pour le marché réduit les différences observées et les explique un peu mieux.

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Paper provided by CIRANO in its series CIRANO Working Papers with number 2005s-33.

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Length: 27 pages
Date of creation: 01 Sep 2005
Date of revision:
Handle: RePEc:cir:cirwor:2005s-33
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  1. Hall, Bronwyn & Link, Albert & Scott, John, 2010. "Universities as Research Partners," Working Papers 10-9, University of North Carolina at Greensboro, Department of Economics.
  2. Marcel Dagenais & Pierre Mohnen, 2000. "Towards an Innovation Intensity Index: The Case of CIS 1 in Denmark and Ireland," CIRANO Working Papers 2000s-20, CIRANO.
  3. Rachel Griffith & Elena Huergo & Jacques Mairesse & Bettina Peters, 2006. "Innovation and Productivity Across Four European Countries," Oxford Review of Economic Policy, Oxford University Press, vol. 22(4), pages 483-498, Winter.
  4. DUGUET Emmanuel, 2004. "Innovation height, spillovers and TFP growth at the firm level: Evidence from French manufacturing," Development and Comp Systems 0411017, EconWPA.
  5. Lööf, Hans & Heshmati, Almas, 2001. "On the Relationship between Innovation and Performance: A sensitivity Analysis," SSE/EFI Working Paper Series in Economics and Finance 0446, Stockholm School of Economics, revised 01 Oct 2001.
  6. repec:cup:cbooks:9780521037136 is not listed on IDEAS
  7. Thomas Hatzichronoglou, 1997. "Revision of the High-Technology Sector and Product Classification," OECD Science, Technology and Industry Working Papers 1997/2, OECD Publishing.
  8. Bruno Crépon & Emmanuel Duguet & Jacques Mairesse, 1998. "Research, Innovation and Productivity : An Econometric Analysis at the Firm Level," Working Papers 98-33, Centre de Recherche en Economie et Statistique.
  9. repec:cup:cbooks:9780521810869 is not listed on IDEAS
  10. Mairesse Jacques & Mohnen Pierre, 2001. "To Be Or Not To Be Innovative: An Exercise In Measurement," Research Memorandum 038, Maastricht University, Maastricht Economic Research Institute on Innovation and Technology (MERIT).
  11. Peters, Bettina & Lööf, Hans & Janz, Norbert, 2003. "Firm Level Innovation and Productivity: Is there a Common Story Across Countries?," ZEW Discussion Papers 03-26, ZEW - Zentrum für Europäische Wirtschaftsforschung / Center for European Economic Research.
  12. Pierre Mohnen & Pierre Therrien, 2002. "Comparing the Innovation Performance of Canadian Firms and those of Selected European Countries: An Econometric Analysis," CIRANO Working Papers 2002s-80, CIRANO.
  13. Lööf, Hans & Heshmati, Almas & Asplund, Rita & Nåås, Svein-Olav, 2001. "Innovation and Performance in Manufacturing Industries: A Comparison of the Nordic Countries," SSE/EFI Working Paper Series in Economics and Finance 0457, Stockholm School of Economics.
  14. 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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