Innovation performance of European SMEs: determined by regional or firm specific factors?
Journal
International Journal of Business Innovation and Research
Date Issued
2019-09
Author(s)
DOI
10.1504/IJBIR.2019.102194
253
265
Abstract
Different factors determine the innovation behaviour of Europe
an SMEs firms. The goal of this paper is to assess the impact of firm specific and
regional specific factors on the innovation behaviour of the firms in Europe.
The analysis is based on data from the Regional Innovation Scoreboard for
2017, particularly focusing on the performance of small and medium-sized
enterprises (SMEs). The OLS regression shows that firm specific
factors are of greater importance for the European firms in the observed regions. That
suggests that regional environment is not an independent determinant of firms’
innovation activity. Innovation activity is shaped by the characteristics of the
firms. The regional innovation policies should focus more on the specific needs
of the firms and help them realise their existing and unexploited innovation
potential.
an SMEs firms. The goal of this paper is to assess the impact of firm specific and
regional specific factors on the innovation behaviour of the firms in Europe.
The analysis is based on data from the Regional Innovation Scoreboard for
2017, particularly focusing on the performance of small and medium-sized
enterprises (SMEs). The OLS regression shows that firm specific
factors are of greater importance for the European firms in the observed regions. That
suggests that regional environment is not an independent determinant of firms’
innovation activity. Innovation activity is shaped by the characteristics of the
firms. The regional innovation policies should focus more on the specific needs
of the firms and help them realise their existing and unexploited innovation
potential.