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Innovation Barriers across Firms and Countries

Author

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  • Werner Hölzl

    (WIFO)

  • Jürgen Janger

    (WIFO)

Abstract

This paper studies differences in the perception of innovation barriers between innovative and non-innovative firms for 18 EU countries. The countries are grouped by their distance to the technological frontier using Community Innovation Surveys for the years 2002-2004 and 2004-2006. The results show that non-innovators interested in innovation are much more likely to perceive barriers than non-innovators that are not interested in innovation activities. With regard to differences between country groups there is a clear indication that innovation barriers related to the availability of skilled labour, innovation partners and knowledge are more important for firms located in countries close to the frontier, while the opposite is true regarding the availability of external finance. Although the share of innovators decreases with the distance to the technological frontier, the share of barrier-related innovators increases. The results demonstrate the usefulness of the innovation barrier approach to understand the determinants of innovative activity at the firm level and to priority-setting within innovation policies.

Suggested Citation

  • Werner Hölzl & Jürgen Janger, 2012. "Innovation Barriers across Firms and Countries," WIFO Working Papers 426, WIFO.
  • Handle: RePEc:wfo:wpaper:y:2012:i:426
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    File URL: https://www.wifo.ac.at/wwa/pubid/44114
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    References listed on IDEAS

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    Cited by:

    1. García-Quevedo, José & Segarra-Blasco, Agustí & Teruel, Mercedes, 2018. "Financial constraints and the failure of innovation projects," Technological Forecasting and Social Change, Elsevier, vol. 127(C), pages 127-140.
    2. Rammer, Christian & Schubert, Torben & Hünermund, Paul & Köhler, Mila & Iferd, Younes & Peters, Bettina, 2016. "Dokumentation zur Innovationserhebung 2015," ZEW Dokumentationen 16-01, ZEW - Zentrum für Europäische Wirtschaftsforschung / Center for European Economic Research.
    3. repec:wfo:wstudy:45200 is not listed on IDEAS
    4. Heike Belitz & Anna Lejpras, 2014. "Financing Patterns of Innovative SMEs and the Perception of Innovation Barriers in Germany," Discussion Papers of DIW Berlin 1353, DIW Berlin, German Institute for Economic Research.
    5. repec:wfo:wstudy:58885 is not listed on IDEAS
    6. Hölzl, Werner & Janger, Jürgen, 2013. "Does the analysis of innovation barriers perceived by high growth firms provide information on innovation policy priorities?," Technological Forecasting and Social Change, Elsevier, vol. 80(8), pages 1450-1468.
    7. Peyman Ajdari & Kambiz Talebi, 2015. "The Effect of Networking Behavior on the Reduction of Innovation Obstacles to Small and Medium-Sized Enterprises," International Journal of Academic Research in Business and Social Sciences, Human Resource Management Academic Research Society, International Journal of Academic Research in Business and Social Sciences, vol. 5(3), pages 419-432, March.

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    Keywords

    Innovation barriers; Europe; innovation policy;

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