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In-house versus External Basic Research and First-to-market Innovations

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  • Dolores Añón Higón

    (Departamento de Economía Aplicada II, Universitat de València)

Abstract

This paper explores to what extent conducting internal basic research, as opposed to external basic research (i.e. outsourcing and collaboration with universities) encourages firms to bring new products into the market ahead of competitors, and contributes to innovation performance. The analysis is based on a sample of Spanish manufacturing firms over the period 2006-2012. Our findings suggest that conducting in-house basic research affects firm’s propensity to introduce product novelties. Furthermore, performing this activity continuously affects the probability of being product-pioneer in low and medium-low tech sectors. Collaboration with universities also helps in introducing new products ahead of competitors, but contracting scientific research from universities does not lead to a pioneer strategy

Suggested Citation

  • Dolores Añón Higón, 2016. "In-house versus External Basic Research and First-to-market Innovations," Working Papers 1601, Department of Applied Economics II, Universidad de Valencia.
  • Handle: RePEc:eec:wpaper:1601
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    References listed on IDEAS

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    More about this item

    Keywords

    basic research; in-house; outsourcing; collaboration; pioneer; imitation;
    All these keywords.

    JEL classification:

    • D22 - Microeconomics - - Production and Organizations - - - Firm Behavior: Empirical Analysis
    • L21 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - Business Objectives of the Firm
    • O32 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Management of Technological Innovation and R&D

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