IDEAS home Printed from https://ideas.repec.org/p/rif/dpaper/1220.html
   My bibliography  Save this paper

Innovation Does Not Equal R&D. Strategic Innovation Profiles and Firm Growth

Author

Listed:
  • Ketokivi, Mikko
  • Ali-Yrkkö, Jyrki

Abstract

In this paper, we examine firm innovation and its link to firm growth. Instead of using the conventional conceptualization and operationalization of innovation in terms of the R&D budget, we use a more elaborate 12-dimensional conceptualization, which takes into account also the non-technological aspects of innovation. The 12-dimensional operationaliza-tion further enables the examination of strategic innovation profiles of individual firms. We find that different kinds of innovation activity all have effects on firm growth, but in different ways. R&D activity is important in that it leads to introduction of new products, but innovation in other dimensions – value chain strategy, brand, and distribution channels – is also linked to new product introduction. Value chain innovation is also related to the development and introduction of new services: innovation aimed at development and improvement of the customer experience in particular has a significant role in the development and introduction of new services.

Suggested Citation

  • Ketokivi, Mikko & Ali-Yrkkö, Jyrki, 2010. "Innovation Does Not Equal R&D. Strategic Innovation Profiles and Firm Growth," Discussion Papers 1220, The Research Institute of the Finnish Economy.
  • Handle: RePEc:rif:dpaper:1220
    as

    Download full text from publisher

    File URL: http://www.etla.fi/wp-content/uploads/2012/10/dp1220.pdf
    Download Restriction: no

    More about this item

    Keywords

    Innovation; firm; growth; non-technical; technological; technical;

    JEL classification:

    • L86 - Industrial Organization - - Industry Studies: Services - - - Information and Internet Services; Computer Software
    • L8 - Industrial Organization - - Industry Studies: Services
    • L25 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - Firm Performance

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:rif:dpaper:1220. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Kaija Hyvönen-Rajecki). General contact details of provider: http://edirc.repec.org/data/etlaafi.html .

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.