Skip to main content

Advertisement

SpringerLink
Log in

Innovation and internationalization: the case of Italy

  • Published:
The Journal of Technology Transfer Aims and scope Submit manuscript

Abstract

The aim of this paper is to analyze the impact of international activities on knowledge output. For this purpose, we employ a dataset containing exclusively qualitative information about a sample of small and medium Italian manufacturing firms. In the econometric analysis, a probit model is used. The results of the estimations highlight that firms active in international markets generate more knowledge than their counterparts which sell in the national market only. There are two possible explanations of this result. First, globally engaged firms employ more knowledge inputs, such as higher innovation expenditures. Second, international firms are more innovative because they can access to a larger flow of ideas from external sources.

This is a preview of subscription content, log in via an institution to check access.

Access this article

Log in via an institution

Price excludes VAT (USA)
Tax calculation will be finalised during checkout.

Instant access to the full article PDF.

Institutional subscriptions

Similar content being viewed by others

References

  • Acs, Z. J., & Audretsch, D. B. (1991). R&D, firm size and innovative activity. In Z. J. Acs & D. B. Audretsch (Eds.), Innovation and technological change (pp. 39–59). London: Harvester Wheatsheaf.

    Google Scholar 

  • Acs, Z., Audretsch, D., & Feldman, M. (1994). R&D spillovers and recipient firm size. The Review of Economics and Statistics, 76, 336–340. doi:10.2307/2109888.

    Article  Google Scholar 

  • Amara, N., & Landry, R. (2005). Sources of information as determinants of novelty of innovation in manufacturing firms: Evidence from the 1999 statistics Canada innovation survey. Technovation, 25, 245–259. doi:10.1016/S0166-4972(03)00113-5.

    Article  Google Scholar 

  • Audretsch, D. (2002). The dynamic role of small firms: Evidence from the U.S. Small Business Economics, 18, 13–40. doi:10.1023/A:1015105222884.

    Article  Google Scholar 

  • Basile, R., Giunta, A., & Nugent, J. (2002). Foreign expansion by italian manufacturing firms in the nineties: An ordered probit analysis. Discussion Paper Series 27, Dipartimento di Economia e Statistica, Università della Calabria.

  • Blalock, G., & Gertler, P. (2004). Learning from exporting revisited in a less developed setting. Journal of Development Economics, 397–416. doi:10.1016/j.jdeveco.2004.06.004.

  • Cabral, J. E. O. (1998). Survey on technological innovative behavior in the brazilian food industry. Scientometrics, 42(2), 129–169. doi:10.1007/BF02458353.

    Article  Google Scholar 

  • Cagliano, R., Chiesa, V., & Manzini, R. (2000). Differences and similarities in managing technological collaborations in reserach, development and manufacturing: A case study. Journal of Engineering and Technology Management, 17, 193–224. doi:10.1016/S0923-4748(00)00021-7.

    Article  Google Scholar 

  • Caloghirou, Y., Kastelli, I., & Tsakanikas, A. (2004). ‘Internal capabilities and external knowledge sources: Complements or substitutes for innovative performance? Technovation, 24, 29–39. doi:10.1016/S0166-4972(02)00051-2.

    Article  Google Scholar 

  • Castellani, D., & Zanfei, A. (2007). Internationalisation, innovation and productivity: How do firms differ in Italy? World Economy, 156–176. doi:10.1111/j.1467-9701.2007.00875.x.

  • Coe, D., & Helpman, E. (1995). International R&D spillovers. European Economic Review, 39, 859–887. doi:10.1016/0014-2921(94)00100-E.

    Article  Google Scholar 

  • Cohen, W. M., & Klepper, S. (1994). Firm size and the nature of innovation within industries: The case of process and product R&D. The Review of Economics and Statistics, 788(2), 232–243.

    Google Scholar 

  • Cohen, W. M., & Levin, R. C. (1989). Empirical studies of innovation and market structure. In R. Schamalensee & R. D. Willig (Eds.), Handbook of industrial organization (Vol. 2, pp. 1059–1107).

  • Criscuolo, C., J. Haskel & M. Slaughter. (2005). Global engagement and the innovation activities of firms. NBER WP no. 11479.

  • Dodgson, M. (1994). Technological collaboration and innovation, the handbook of industrial innovation. Aldershot, UK: Elgar.

    Google Scholar 

  • Evenson, R., & Westphal, L. (1995). Technological change and technology strategy. In T. N. Srinivasan & J. Behrman (Eds.), Handbook of development economics (Vol. 3), North Holland.

  • Freel, M. (2000). External linkages and product innovation in small manufacturing firms. Entrepreneurship and Regional Development, 12, 245–266. doi:10.1080/089856200413482.

    Article  Google Scholar 

  • Griliches, Z. (1979). Issues in assessing the contribution of R&D to productivity growth. The Bell Journal of Economics, (10), 92–116. doi:10.2307/3003321.

  • Griliches, Z. (1990). Patent statistics as economic indicators: A survey. Journal of Economic Literature, 28(4), 1661–1707.

    Google Scholar 

  • Grossman, G., & Helpman, E. (1991). Innovation and growth in the global economy. Cambridge, MA: MIT Press.

    Google Scholar 

  • Herguera, I., & Lutz, S. (2003). The effects of subsidies to product innovation on international competition. Economics of Innovation and New Technology, 12(5), 465–480. doi:10.1080/1043859031000078461.

    Article  Google Scholar 

  • Hitt, M., Hoskisson, R., & Kim, H. (1997). International diversification: Effects on innovation and firm performance in product-diversified firms. Academy of Management Journal, 40(4), 767–798. doi:10.2307/256948.

    Article  Google Scholar 

  • Kafouros, M., Buckley, P., Sharp, J., & Wang, C. (2008). The role of internationalization in explaining innovation performance. Technovation, 28, 63–74. doi:10.1016/j.technovation.2007.07.009.

    Article  Google Scholar 

  • Karlsson, C., & Olsson, O. (1998). Product innovation in small and large enterprises. Small Business Economics, 10, 31–46. doi:10.1023/A:1007970416484.

    Article  Google Scholar 

  • Keeble, D., Lawson, C., Smith, H., Moore, B., & Wilkinson, F. (1998). Internationalisation processes, networking and local embeddedness in technology-intensive small firms. Small Business Economics, 11, 327–342. doi:10.1023/A:1007942612220.

    Article  Google Scholar 

  • Kotabe, M., Srinivasan, S., & Aulakh, P. (2002). Multinationality and firm performance: The moderating role of r&d and marketing capabilities. Journal of International Business Studies, 33, 79–97. doi:10.1057/palgrave.jibs.8491006.

    Article  Google Scholar 

  • Love, J. H., & Roper, S. (1999). The determinants of innovation: R&D, technology transfer and networking effects. Review of Industrial Organization, 15, 43–64. doi:10.1023/A:1007757110963.

    Article  Google Scholar 

  • Mansfield, E. (1968). The economics of technological change. New York: Norton.

    Google Scholar 

  • Marlin, S., & Scott, J. T. (2000). The nature of innovation market failure and the design of public support for private innovation. Research Policy, 29, 437–447. doi:10.1016/S0048-7333(99)00084-0.

    Article  Google Scholar 

  • Morone, P. & G. Testa. (2005). What makes small and medium enterprises competitive. DSEMS University of Foggia WP n. 18.

  • Pack, H., & Westphal, L. (1986). Industrial strategy and technical change: Theory versus reality. Journal of Development Economics, 22, 87–128. doi:10.1016/0304-3878(86)90053-2.

    Article  Google Scholar 

  • Piergiovanni, R., Santarelli, E., & Vivarelli, M. (1997). From which source do small firms derive their innovative inputs? Some evidence from italian industry. Review of Industrial Organization, 12, 243–258. doi:10.1023/A:1007781501147.

    Article  Google Scholar 

  • Reganati, F. (2004). I processi di internazionalizzazione delle PMI. In Le piccole e medie imprese nell’economia italiana––Rapporto 2004––Realizzato a cura dell’Istituto Guglielmo Tagliacarne Edizione FrancoAngeli––Unioncamere.

  • Rivera-Batiz, L., & Romer, P. (1991). Economic integration and endogenous growth. The Quarterly Journal of Economics, 106(2), 531–556. doi:10.2307/2937946.

    Article  Google Scholar 

  • Rogers, M. (2004). Networks, firm size and innovation. Small Business Economics, 22, 141–153. doi:10.1023/B:SBEJ.0000014451.99047.69.

    Article  Google Scholar 

  • Romer, P. M. (1990). Endogenous technological change. The Journal of Political Economy, 98(5), 71–102. doi:10.1086/261725.

    Article  Google Scholar 

  • Rothwell, R., & Dodgson, M. (1991). External linkages and innovation in small and medium-sized enterprises. R&D Management, 21, 125–137. doi:10.1111/j.1467-9310.1991.tb00742.x.

    Article  Google Scholar 

  • Rothwell, R., & Dodgson, M. (1994). Innovation and size of firm. In M. Dodgson & R. Rothwell (Eds.), The handbook of industrial innovation. Cheltenham, UK: Edward Elgar.

    Google Scholar 

  • Santos, J., Doz, Y., & Williamson, P. (2004). Is your innovation process global? MIT Sloan Management Review, 45(4), 31–37.

    Google Scholar 

  • Schmookler, J. (1966). Invention and economic growth. Harvard University Press.

  • Spence, M. (1984). Cost reduction, competition, and industry performance. Econometrica, 52(1), 368–402. doi:10.2307/1911463.

    Article  Google Scholar 

  • Stock, G. N., Greis, N. P., & Fischer, W. A. (2002). Firm size and dynamic technological innovation. Technovation, 22, 537–549. doi:10.1016/S0166-4972(01)00061-X.

    Article  Google Scholar 

  • Symeonidis, G. (1996). Innovation, firm size and market structure: Schumpeterian hypotheses and some new themes. OECD Economics Department Working Papers, No. 161, OECD Publishing.

  • Teece, D. (1996). Firm organisation, industrial structure and technological innovation. Journal of Economic Behavior & Organization, 31, 193–224. doi:10.1016/S0167-2681(96)00895-5.

    Article  Google Scholar 

  • Vitali, G. (1995). Accordi tecnologici e processo di internazionalizzazione dell’industria italiana. In A. La Bella, M. Raffa, & G. Zollo (Eds.), Leve strategiche nei mercati integrati. Etas Libri.

  • Wagner, J. (2006). Exports, foreign direct investment, and productivity: Evidence from german firm level data. Working Paper Series in Economics no. 25, University of Luneburg.

  • Welch, L. S., & Luostarinen, R. K. (1988). Internationalization: Evolution of a concept. Journal of General Management, 14(2), 36–64.

    Google Scholar 

  • Westhead, P., & Storey, D. J. (1995). Links between higher education institutions and high technology firms, omega. International Journal of Management Science, 23, 345–360.

    Google Scholar 

  • Zeng, J. (2001). Innovative vs. imitative R&D and economic growth. Journal of Development Economics, 64, 499–528. doi:10.1016/S0304-3878(00)00148-6.

    Article  Google Scholar 

Download references

Author information

Authors and Affiliations

  1. Department of SEMS, Faculty of Economics, University of Foggia, Largo Papa Giovanni Paolo II n. 1, 71100, Foggia, Italy

    Rosanna Pittiglio & Edgardo Sica

  2. Birkbeck College, University of London, Malet Street, WC1E 7HX, London, UK

    Stefania Villa

Authors
  1. Rosanna Pittiglio
    View author publications

    You can also search for this author in PubMed Google Scholar

  2. Edgardo Sica
    View author publications

    You can also search for this author in PubMed Google Scholar

  3. Stefania Villa
    View author publications

    You can also search for this author in PubMed Google Scholar

Corresponding author

Correspondence to Stefania Villa.

Additional information

This work was jointly conceived and produced by the three authors. However, Sects. 3 and 5 were written by Rosanna Pittiglio, Sects. 4 and 6 by Edgardo Sica, and Sects. 1 and 2 by Stefania Villa.

Rights and permissions

Reprints and permissions

About this article

Cite this article

Pittiglio, R., Sica, E. & Villa, S. Innovation and internationalization: the case of Italy. J Technol Transf 34, 588–602 (2009). https://doi.org/10.1007/s10961-009-9107-5

Download citation

  • Published:

  • Issue Date:

  • DOI: https://doi.org/10.1007/s10961-009-9107-5

Keywords

JEL Classification

Search

Navigation