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The impact of knowledge spillovers and innovation on firm-performance: findings from the Balkans countries

  • Veland RamadaniEmail author
  • Hyrije Abazi-Alili
  • Léo-Paul Dana
  • Gadaf Rexhepi
  • Sadudin Ibraimi
Article

Abstract

This paper investigates factors affecting firm performance. Using data from Business Environment and Enterprise Performance Surveys (BEEPS 2013–2014), findings indicate that the following have a positive effect on firm performance: (i) innovative activities; (ii) knowledge spillovers; (iii) foreign ownership; and (iv) the proportion of skilled workers in the workforce. The paper therefore argues that innovation activities are endogenously related to firm performance, and that the performance of firms is influenced by knowledge spillovers and innovation activities, among other firm characteristics. The paper contributes to the literature by identifying spillovers and innovation activities as causal variables of firm performance—a novel approach to investigating knowledge spillovers and innovation activities.

Keywords

Knowledge spillovers Innovation Performance Balkans Business Environment and Enterprise Performance Surveys (BEEPS) 

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© Springer Science+Business Media New York 2016

Authors and Affiliations

  • Veland Ramadani
    • 1
    Email author
  • Hyrije Abazi-Alili
    • 1
    • 2
  • Léo-Paul Dana
    • 3
    • 4
  • Gadaf Rexhepi
    • 1
  • Sadudin Ibraimi
    • 1
  1. 1.Faculty of Business and EconomicsSouth-East European UniversityTetovoRepublic of Macedonia
  2. 2.CERGE-EIPragueCzech Republic
  3. 3.Montpellier Research in ManagementMontpellier Business SchoolMontpellierFrance
  4. 4.Marie Curie Fellow at Princeton UniversityPrincetonUSA

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