Innovating against European rigidities Institutional environment and dynamic capabilities
نویسنده
چکیده
European firms are confronted to the paradox of a strong R&D in many areas but a low level of innovation. Building on the dynamic capability approach, I propose an institutional approach where innovation is linked to cultural, organizational, and regulatory factors. These include managers’ attitude toward risk and uncertainty, the ability to develop capabilities and access complementary assets, and a favorable regulatory environment. Using European microdata on how 6860 managers perceive factors hampering innovation, this paper shows that the risk-averse attitude of European firms and their difficulty to develop dynamic capabilities may explain the weakness of European innovation. Institutional factors such as pervasive rigidities and distortions that hamper the functioning of markets, may also prevent innovative responses. The use of manager’s perceptions seems particularly well suited in the context of innovation where choices are taken with limited information. Conclusions drawn from this perspective call for policies that will take into account the system in which innovation can take place. D 2002 Elsevier Science Inc. All rights reserved.
منابع مشابه
Unpacking dynamic capabilities in the small-to-medium software enterprise: process assets and history
Previous studies of commercial software enterprises have employed industry-level analyses, or have focused on major players in the industry. There is, therefore, a dearth of in-depth research on small-to-medium software enterprises (SMSE). The need to understand the institutional contexts and firm-specific capabilities of such firms is important, as they account for over 90% of software enterpr...
متن کاملProcesses for Cooperation: Insights on Absorptive Capacity, Combinative Capabilities and Inter-organisational Routines from a Case Study on a Large Firm in Pharmaceuticals
Inter-institutional cooperation is becoming the norm for innovations putting at centre stage of research inquiry the organisational knowledge for establishing, coordinating and innovating through cooperation. Case study evidence depicts the development of systematic processes for partner identification and management of cooperative agreements. Researchers recognising potential partners would pe...
متن کاملPluripotent Dynamic Capabilities in the Internationalization of Firms Focus on Learning, Innovating and Networking in SMEs from Sweden
متن کامل
The unemployment-growth relationship in transition countries
Does the disappointingly high unemployment in Central and East European countries reflect non-completed adjustment to institutional shocks from transition to a market economy, or is it the result of high labour market rigidities, or rather a syndrome of too weak aggregate demand and output? In the case of transitional causes, unemployment is expected to decline over time. Otherwise, it would po...
متن کاملEndogenous Labor Market Rigidities and Family Ties
Much has been written about institutional differences between European and North American labor markets, and about their role in determining the large and persistent differences between the unemployment rates in Europe and US over the last fifteen-twenty years. The objective of this paper is to answer the question: why have these differences in labor market flexibility emerged and why do they p...
متن کامل