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PurposeThere is a dearth of empirical research on the impact of external knowledge search on innovation performance in different categories of service firms. This study explores the effectiveness of the breadth of external search on product and process innovations in German firms. In particular, the author modelled a non-linear relationship between the breadth of knowledge and product and process innovations.Design/methodology/approachDrawing on the Mannheim Innovation Panel (MIP) data for the German service firms in the period 2014–2016, the author reported findings from a bivariate probit model which took into account mutual interdependence between product and process innovations. Moreover, the model was separately estimated for knowledge-intensive business services (KIBS) and other services. For comparative purposes, the author also estimated the model for manufacturing firms.FindingsEmpirical findings uniformly indicated an inverted U-shaped effect of the breadth of knowledge on both product and process innovations. Furthermore, the results demonstrated that using up to three knowledge sources increases the probability of a joint implementation of product and process innovations. These findings hold for both KIBS firms and other services. However, those service firms that focussed on a single type of innovation experienced diminishing returns to external knowledge when exploiting more than one source of knowledge. These results indicated that a simultaneous introduction of different types of innovation required diverse knowledge sources. In contrast, when focussing on a single type of innovation, service firms experienced diminishing returns when multiple sources were used. However, this finding was only partially found for manufacturing firms. Accordingly, this study's findings provided support for the demarcation approach, insofar as the breadth of knowledge had a heterogenous impact on innovation in manufacturing relative to service firms.Originality/valuePrevious studies on the breadth of knowledge search mostly examined its influence on innovation performance without separately analysing manufacturing and service firms. The present study focussed on service firms that were further divided into KIBS and other service firms. By investigating potentially non-linear relationships between knowledge breadth and product and process innovations, it illustrated how different innovation strategies were affected by a diverse pool of external knowledge sources.

AbstractMost quantitative evaluations report positive but small effects of supply-side innovation measures. Although the literature suggests that demand-side measures, in particular, public procurement of innovation, might be more effective in stimulating innovation than supply-side measures, empirical evidence on this proposition is scarce. To empirically test this proposition, we utilize the Eurobarometer 2014 survey to estimate the effects from public procurement of innovation as well as from the supply-side innovation measures on product and process innovations in manufacturing and service firms in the USA and Europe. Our findings suggest that the treatment effects of public procurement of innovation are indeed larger than the effects of supply-side public support on product innovation in both manufacturing and service sectors. This finding also holds for process innovation, but only in the service sector. In contrast, in manufacturing firms, the estimated effects on process innovation are only positive and significant in firms receiving public support.

AbstractDrawing on a sample of households in Bangladesh, we utilise the generalised propensity score method to investigate the impact of internal and international remittances on households' net assets. The analysis suggests an inverted U‐shaped relationship between the amount of internal remittances and the net assets of households. The effect of international remittances on net assets is similarly inverted U‐shaped. The paper also indicates not only the source but also the size of remittances effects of the utilisation of remittances for asset accumulation. © 2019 The Authors Journal of International Development Published by John Wiley & Sons Ltd.

Abstract: We investigate whether public support for innovation increases the propensity of SMEs in traditional manufacturing industries to cooperate for innovation—in particular, for incremental innovation—with other firms and external knowledge providers. Using data from seven EU regions, we find that support programmes do not promote cooperation with competitors, marginally promote cooperation with customers and suppliers and strongly promote cooperation with knowledge providers. These findings suggest that, in this case, the role of public policy is systems conforming rather than systems creating. Innovation support programmes can assist SMEs in traditional manufacturing industry to consolidate and/or extend their innovation ecosystems beyond familiar business partners by promoting cooperation with both private and public sector knowledge providers. Finally, our findings suggest that evaluation studies of innovation support programmes should be designed to capture not only input and/or output additionality but also behavioural and systemic effects.

We investigate whether public support for innovation increases the propensity of SMEs in traditional manufacturing industries to cooperate for innovation – in particular, for incremental innovation – with other firms and external knowledge providers. Using data from seven EU regions, we find that support programmes do not promote cooperation with competitors, marginally promote cooperation with customers and suppliers, and strongly promote cooperation with knowledge providers. These findings suggest that, in this case, the role of public policy is systems conforming rather than systems creating. Innovation support programmes can assist SMEs in traditional manufacturing industry to consolidate and/or extend their innovation ecosystems beyond familiar business partners by promoting cooperation with both private and public sector knowledge providers. Finally, our findings suggest that evaluation studies of innovation support programmes should be designed to capture not only input and/or output additionality but also behavioural and systemic effects.

AbstractThis study focuses on identification, categorization and comparison of regulatory barriers to internationalization for the small and medium‐sized enterprises (SMEs) from an emerging market context. Primary data were collected to develop and validate a structural model to assess the salient regulatory barriers of internationalization with a particular attention to the SMEs in Bangladesh. Structured questionnaire has been used to collect data from 212 SMEs operating in Bangladesh. The results indicate that both administrative and economic regulatory barriers are significant for the internationalization of SMEs whereby administrative regulatory barriers are slightly more substantial. This study provides further discussion from both theoretical and methodological aspects. By developing and validating structural model, this study contributes to the literature on small business and regulation with particular attention to the emerging markets.

This article examines three types of additionality—input, output, and behavioural—in a cross-country framework. Besides conducting a systemic evaluation, which is scarce even in developed economies, this is among the first studies to investigate the effectiveness of R&D and innovation policy in transition economies. We estimate treatment effects for small and medium-sized firms in six Western Balkan countries. Empirical findings from matching estimators indicate no input and output additionality, while we find evidence of behavioural additionality. These results highlight the importance of conducting a systemic evaluation of innovation public support. We discuss theoretical and policy implications stemming from our empirical findings.

We investigate whether public support for innovation increases the propensity of SMEs in traditional manufacturing industries to cooperate for innovation—in particular, for incremental innovation—with other firms and external knowledge providers. Using data from seven EU regions, we find that support programmes do not promote cooperation with competitors, marginally promote cooperation with customers and suppliers and strongly promote cooperation with knowledge providers. These findings suggest that, in this case, the role of public policy is systems conforming rather than systems creating. Innovation support programmes can assist SMEs in traditional manufacturing industry to consolidate and/or extend their innovation ecosystems beyond familiar business partners by promoting cooperation with both private and public sector knowledge providers. Finally, our findings suggest that evaluation studies of innovation support programmes should be designed to capture not only input and/or output additionality but also behavioural and systemic effects.

ABSTRACT:This article describes the creation of a new urban classification based on the 1891 census of England and Wales. It is the first attempt to use the recently available electronic version of the census (I-CeM) to classify all large towns in late Victorian England and Wales on their economic structure. Where previous scholars were restricted by the form of occupation data contained in the published census reports, I-CeM allows manipulation of the data in order to aggregate urban units and examine their occupational structures in great detail. The classification is then used to compare key socio-economic characteristics of different towns.

PurposeThis paper aims to report the results of an investigation into the relationship between corporate boards and the likelihood of a firm being convicted of an environmental offence in the United Kingdom (UK).Design/methodology/approachThe study uses binary logistics regression analysis to model the relationship between corporate boards and the likelihood of a firm being convicted of an environmental offence in the UK, controlling for firm size, financial leverage and profitability.FindingsThe results suggest that the likelihood of a firm being convicted of an environmental offence increases with board size but decreases with the presence of a woman on the board. No support is found for the authors' hypotheses about the proportion of outside directors and the presence of a lawyer on the board. Marginal effects' results also show that adding one member to the board increases the chance of a firm being convicted for an environmental offence by 4.2 per cent, while having a woman on the board decreases the likelihood of a firm being convicted of an environmental offence by 31.8 per cent.Research limitations/implicationsThe sample size of 55 firms is small which could affect the generalisability of the study.Originality/valueThe study uses proprietary data obtained from the UK Environmental Agency to provide evidence for the first time how corporate boards affect the chances of a listed firm being convicted of an environmental offence in the UK.

We evaluate the effect of innovation support programs on output innovation by small and medium enterprises in traditional manufacturing industry. This focus is motivated by a definition of traditional manufacturing industry that includes capacity for innovation, and by evidence of its continued importance in European Union employment. We conducted a survey in seven European Union regions to generate the data needed to estimate pre-published switching models by means of the copula approach, from which we derived treatment effects on a wide range of innovation outputs. We find that for participants the estimated effects of innovation support programs are positive, typically increasing the probability of innovation and of its commercial success by around 15%. Yet, we also find that a greater return on public investment could have been secured by supporting firms chosen at random from the population of innovating traditional sector small and medium enterprises. These findings indicate the effectiveness of innovation support programs while suggesting reform of their selection procedures.