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1 – 10 of 44Carolina Pasciaroni and Andrea Barbero
This paper aims to analyse the influence of cooperation on the degree of novelty of technological innovations introduced by industrial firms in Argentina. This influence is…
Abstract
Purpose
This paper aims to analyse the influence of cooperation on the degree of novelty of technological innovations introduced by industrial firms in Argentina. This influence is analysed from three perspectives: cooperation by partner type [business partners or scientific and technological centres (S&T) partners]; cooperation by number of partner types, from no cooperation to cooperation with two partner types; and cooperation by goals pursued by firms.
Design/methodology/approach
The data come from one of the last national innovation surveys conducted in Argentina. The study controls for endogeneity, using instrumental variable procedures within the conditional mixed-process (CMP) framework.
Findings
The main result is the influence of cooperation with universities and S&T centres on the introduction of more novel innovations, which was found both in estimations with and without endogeneity correction. This influence was verified for more complex goals (R&D, technology transfer and industrial design and engineering) as well as for less complex ones (tests and trials, human resources training, quality management and certification). Business cooperation seems to impact only on a lower degree of novelty for more complex goals. The increase in the number of partners that the firm cooperates with, from no cooperation to joint cooperation with two partner types, influences more novel innovations.
Research limitations/implications
Limitations and proposals for future research are discussed at the end of the study.
Practical implications
The results of this study contrast with the high propensity to cooperate with business partners shown by firms in Argentina and other Latin American countries. Therefore, this paper may help formulate more effective policies to promote cooperation conducive to firm innovation performance. Limitations and proposals for future research are discussed at the end of the study.
Originality/value
Although there is empirical evidence on this topic for developed countries, firm-level studies on cooperation and degree of novelty are scarce for Latin America. In addition, this paper analyses cooperation not only by type of partner but also by type of goal. This study attempted to control for endogeneity by using instrumental variables within the CMP framework.
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Samuel Sekyi, Benjamin Musah Abu and Paul Kwame Nkegbe
The purpose of this paper is to examine farmers’ access to credit, credit constraint, and productivity in the Northern Savannah ecological zone of Ghana.
Abstract
Purpose
The purpose of this paper is to examine farmers’ access to credit, credit constraint, and productivity in the Northern Savannah ecological zone of Ghana.
Design/methodology/approach
Secondary data from the Ghana Feed the Future baseline survey involving a total sample of 2,968 farm households were used. The conditional mixed process (CMP) framework was applied to estimate access to credit, credit constraint, and productivity simultaneously. As a system estimator the CMP corrects for possible heterogeneity and sample selection bias.
Findings
The results from the estimations revealed that age, literacy, farm non-mechanized equipment, and group membership were the variables influencing farmers’ access to credit. Credit constraint conditions were determined by household size, locality, group membership, and household durable assets. Finally, the results showed that productivity of farmers was dependent on marital status, household size, locality, farm size, commercialization, farm mechanized equipment, group membership, and household durable assets.
Originality/value
This paper is the first, to the best of the authors’ knowledge, to use the CMP framework to jointly estimate access to credit, credit constraint, and productivity. The results indicate that estimating credit access and constraint models separately would have yielded biased estimates. Thus, this paper informs future research on farmers’ credit access, credit constraint, and productivity for informed policymaking.
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High levels of youth unemployment in Africa, the difficulty of accessing salaried jobs, and the weakness of public institutions in charge of employment issues push youths towards…
Abstract
Purpose
High levels of youth unemployment in Africa, the difficulty of accessing salaried jobs, and the weakness of public institutions in charge of employment issues push youths towards informal channels that can help them find jobs. Among these informal channels, religion has been playing an increasingly important role. Thus, this study aimed to analyse the effects of religion on youths' access to self-employment.
Design/methodology/approach
This study used data from the survey on the improvement of youth employment policies in Francophone Africa—conducted in 2018 by the Laboratory for Economic and Social Research and Studies (LARES) of Marien Ngouabi University—to estimate the effects of religion on access to self-employment. The econometric model employed is a two-stage model. Conditional mixed process developed by Roodman (2011) was used to verify the model's robustness.
Findings
The results indicate that religion exhibits a positive and significant effect on access to self-employment. This effect is stronger for youths from Muslim communities than for those from other religious communities, compared to youths who do not engage in religious communities.
Social implications
Based on the current dynamics observed in numerous African countries with respect to employment access, these results imply that religious denominations should be considered when developing policies and programs related to employment, particularly for youths.
Originality/value
The approach followed in this study contributes to the literature predominantly by demonstrating how the network theory approach helps explain, to some extent, the link between religion and access to employment in general and access to self-employment, particularly in developing economies—mainly in sub-Saharan Africa, where the recourse to informal channels of access to self-employment constitutes a significant solution approach for youths.
Peer review
The peer review history for this article is available at: https://publons.com/publon/10.1108/IJSE-02-2023-0097
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Dung Nguyen, Hoai Nguyen and Kien S. Nguyen
The purpose of this paper is to investigate the simultaneous relationship among ownership concentration, innovation and firm performance of the small- and medium-sized enterprises…
Abstract
Purpose
The purpose of this paper is to investigate the simultaneous relationship among ownership concentration, innovation and firm performance of the small- and medium-sized enterprises (SMEs) in Vietnam during the 2011–2015. By employing a Conditional Mixed Process (CMP) model, the findings show that: there is no impact of ownership concentration on innovation, but it has a positive impact on sales growth; innovation positively affects firm performance; and there exists a positively reverse causality from sales growth to innovation.
Design/methodology/approach
In this study, the authors propose the adaption of CMP model (Roodman, 2011). The nature of the first stage dependent variable – Innovation – is a binary one while the dependent variable Performance is continuous. Therefore, a model that can adapt the binary nature of the dependent variable and perform the estimation of a system of equations such as CMP model is preferred. The CMP framework is substantially that of seemingly unrelated regression, but with application in a larger scope. This approach is based on a “simulated maximum likelihood method” suggested by Geweke–Hajivassiliou–Keane algorithm.
Findings
By applying CMP method, this study examines the simultaneous relationship among ownership concentration, innovation and firm performance of the SMEs in Vietnam from 2011 to 2015. The findings indicate that: there is no impact of ownership concentration on innovation, but it has a positive impact on sales growth; innovation positively affects firm performance; and there exists a positively reverse causality from sales growth to innovation.
Research limitations/implications
In spite of the efforts to explore the simultaneous relationship among ownership concentration, innovation and firm performance of the SMEs in Vietnam, the study still has some limitations which are promising further research directions. First, the SME surveys by Central Institute for Economic Management do not have much information about other types of ownership including state-owned and foreign ownership. Therefore, possible further studies with richer data sets may explore the impacts of different types of ownership on firm innovation and performance. Second, other types of innovation such as organizational innovation, marketing innovation can also be investigated in further studies in a richer data set for the case of Vietnam SMEs.
Originality/value
The findings show that: there is no impact of ownership concentration on innovation, but it has a positive impact on sales growth; innovation positively affects firm performance; and there exists a positively reverse causality from sales growth to innovation. The policy implications insist on facilitating SMEs with easier access to capital via loans with preferred interest or trust loans without collateral, training programs for the labor force and SME leaders, and reduction of unnecessary administrative procedure.
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Fatma Nur Karaman Kabadurmus and Kevin Sylwester
The purpose of this study is to examine how corruption affects the prevalence of product and process innovation by firms.
Abstract
Purpose
The purpose of this study is to examine how corruption affects the prevalence of product and process innovation by firms.
Design/methodology/approach
This study uses firm-level data from the 2012–2016 Business Environment Enterprise Performance Surveys and utilizes a conditional mixed process model to address endogeneity concerns, taking bribery as a measure of corruption.
Findings
The study shows that measures of bribery are positively and robustly associated with innovation but mainly for firms reporting many competitors. The results are stronger for firms reporting more obstacles. Both findings support the inference that bribes facilitate innovation by allowing firms to evade regulatory obstacles.
Originality/value
The current research on corruption's effect on innovation restricts the association to be uniform across the sample, but this study shows that the impact depends on the degree of competition faced by a firm. In addition, the data used in this study cover 30 economies in Eastern Europe and Central Asia, and thus contributes to determining the effects of anticorruption practices in emerging countries.
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Antony Paulraj, Christopher Rajkumar, Constantin Blome and Murtaza Faruquee
That knowledge acquisition from external sources can play a pivotal role in product design is a well-known fact. However, knowledge acquisition need not play a pivotal role in…
Abstract
Purpose
That knowledge acquisition from external sources can play a pivotal role in product design is a well-known fact. However, knowledge acquisition need not play a pivotal role in every context; it is also documented to have a dark side (i.e. negative impacts). Specifically, given that product stewardship, by definition, calls on each party in the product life cycle – including suppliers – to share responsibility for the environmental impact of products, the purpose of this study is to answer the question “whether knowledge acquired from suppliers plays a beneficial role in the context of product stewardship?”
Design/methodology/approach
This study focuses on the effect of knowledge acquisition on product stewardship and its subsequent effect on environmental performance. Given that the effect of knowledge acquisition could be moderated by firm-specific and relational factors, this study also considers the moderating role of knowledge exploitation and supplier opportunism. Using primary data, the hypotheses are tested using two-stage hierarchical ordinary least squares regression models involving valid instruments.
Findings
Though extant research doubts that knowledge acquisition will always be beneficial, this study adheres to the tenets of knowledge-based view and hypothesize that knowledge acquisition is pivotal to product stewardship and its subsequent impact on environmental performance. But the results suggest an intriguing double-edged effect of knowledge acquisition; while its direct effect on product stewardship is nonsignificant, it seemed to have a significant positive moderating effect on the relationship between product stewardship and environmental performance. But whenever knowledge exploitation and supplier opportunism are maintained at ideal levels, this double-edged effect of knowledge acquisition is successfully negated.
Originality/value
While knowledge acquisition is key for new product design, its specific role in the product design that incorporates environmental considerations is still not clear. By proposing that knowledge acquisition could instead have a double-edged effect within the unique context of product stewardship, the study makes an invaluable contribution to the extant literature on knowledge management within supply chain relationships.
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Marisa Ramírez-Alesón and Marta Fernández-Olmos
This paper explores the importance of the importing intensity for different intermediate inputs depending on their source (internal sourcing or intra-firm trade versus external…
Abstract
Purpose
This paper explores the importance of the importing intensity for different intermediate inputs depending on their source (internal sourcing or intra-firm trade versus external sourcing or foreign suppliers) for different types of innovation (product and process innovation) and applied to MNEs (foreign versus domestic).
Design/methodology/approach
The sample contains 2,448 firm-year observations (2006–2016) of firms located in Spain that belong to an MNE group. The authors applied a conditional mixed process to a panel recursive bivariate probit model with robust standard errors.
Findings
The authors obtained three key results. First, intermediate imports do not always contribute to improving innovation, since their effects vary depending on their source. Second, intermediate imports from foreign suppliers (external source) are more advantageous for product innovation than those from intra-firm trade (internal source). Third, intermediate imports from intra-firm trade are more important for process innovation than those from foreign suppliers. Thus, the impact of importing intermediate inputs on innovation is contingent on the source of the imports, the ownership of the MNE and the type of innovation.
Originality/value
The paper contributes to this topic with new insights and results for MNEs. It identifies which import source is best for innovation depending on the type of innovative result expected. Moreover, it helps to uncover simultaneity and causal relationships between product and process innovation, issues which have not previously been considered in the literature.
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Marisa Ramírez-Alesón and Marta Fernández-Olmos
The purpose of this paper is to analyze the impact of imported intermediate inputs on innovation performance, differentiating among types of innovation output (product and process…
Abstract
Purpose
The purpose of this paper is to analyze the impact of imported intermediate inputs on innovation performance, differentiating among types of innovation output (product and process innovation) and considering both family and non-family firms in the Spanish context.
Design/methodology/approach
This paper uses an unbalanced panel of 1963 firms in the Spanish manufacturing sector (13,155 observations; 2006–2016) that can be identified as family or non-family firms. The authors apply a recently developed methodology (conditional mixed process model) that takes into account the possible relationships among the dependent variables to a panel bivariate probit model with robust standard errors.
Findings
Importing intermediate inputs is an important source of process innovation for all firms, but not of product innovations. Significant differences were found between family and non-family firms in favor of the family type.
Research limitations/implications
This paper breaks down the family state into two categories (belonging to a family group or not) because the database does not contain information regarding the percentage of family ownership or the number of family members in the management structure. Moreover, the research is context specific.
Practical implications
These results will be useful for firms that are considering the value of importing intermediate inputs as a strategy to improve their process innovations, particularly for family firms.
Social implications
Family firms are more successful in the utilization of imported intermediate inputs to achieve greater innovation performance. If family firms are more competent in leveraging their intermediate input imports in innovation performance, it should contribute to increasing business performance.
Originality/value
The research on imports takes into account the different impacts of intermediate imports depending on innovation performance (product innovation vs process innovation) and the nature of the firm (family firms vs non-family firms).
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Stanley Kojo Dary and Yazidu Ustarz
The paper examines the effect of internal remittances on the employment choices of household heads in rural Ghana.
Abstract
Purpose
The paper examines the effect of internal remittances on the employment choices of household heads in rural Ghana.
Design/methodology/approach
The paper employs data from the Ghana Living Standards Survey (GLSS 6) of the Ghana Statistical Service. Due to issues of endogeneity of remittances in relation to labor supply, the paper adopts an instrumental variable approach in the analysis. First, employment choices are categorized into three: (1) wage/salary employment, (2) self-employment and (3) domestic/family employment. The relationship is then modeled as instrumental variable multinomial probit (IV-MNP). Secondly, employment choices are recategorized into two: farm employment and otherwise and modeled as instrumental variable probit (IV-PROBIT). The models are estimated via the conditional mixed process (CMP) estimation technique.
Findings
The results indicate that remittances have a negative effect on self-employment and a positive effect on domestic/family employment. Thus, remittances reduce participation in self-employment but increase participation in domestic/family employment. Furthermore, remittances have a negative effect on participation in farm employment. The results are robust to different measures of remittances: receipt of remittances (dummy) and remittance income.
Practical implications
The results suggest that remittances are used for consumption rather than investing in earning activities. In general, engaging in earning type of employment, whether farm and nonfarm employment will decline with receipt of remittances in rural Ghana. There is a need for policy attention with the increasing migration of people out of rural areas.
Originality/value
Prior to this study, little was known on the effect of internal remittances on labor supply decisions of remittance recipients in Ghana, particularly rural Ghana. This paper contributes significantly to filling this knowledge gap.
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This paper assesses the effect of land ownership on household food security through its productivity enhancement effect in rural Burkina Faso.
Abstract
Purpose
This paper assesses the effect of land ownership on household food security through its productivity enhancement effect in rural Burkina Faso.
Design/methodology/approach
As the link between land tenure security and productivity is indirect, the study relies on a complex mixed process regression model with robustness to assess the effect of land ownership on household productivity. Then, an instrumental variable (IV) approach is followed to investigate the association between household productivity and food security. The rural development program survey data collected from 1,892 households in 2017 are used.
Findings
The complex mixed process estimation results are robust and show that land ownership has a positive effect on household productivity. From the IV results, it is found that productive households spend more on food, have a low share of expenditures on food and are less likely to experience severe food shortages, implying an improvement in their food security status. This highlights a positive association between land ownership and food security.
Originality/value
Unlike previous studies that only focused on the effect of land ownership on land-related investments and agricultural productivity, this study deepens the analysis and sheds light on how land ownership, agricultural production and food security are related. It gives empirical evidence on the importance of land policies in the struggle against food insecurity in agrarian economies.
Peer review
The peer review history for this article is available at https://publons.com/publon/10.1108/IJSE-11-2021-0658.
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