Search results
1 – 10 of over 2000This paper investigates the extent to which formal capital budgeting methods are used in small high-tech firms. We define high-tech firms by their R&D intensity. In addition, we…
Abstract
This paper investigates the extent to which formal capital budgeting methods are used in small high-tech firms. We define high-tech firms by their R&D intensity. In addition, we define software industry as a special type of R&D-intensive firm. We focus on the methods that are used by the small high-tech firms in evaluating the profitability of investment projects, estimating the cost of capital and making decisions related to the capital structure. Our results based on two surveys of Finnish firms indicate that the high-tech firms use similar capital budgeting methods and estimate their cost of capital in a similar way to other small-sized firms in other industries. Moreover, high-tech firms seek external financing and co-owners.
Maria José Palma Lampreia Dos-Santos and Henrique Diz
Efficiency and productivity has always being a key issue in economic science. The analysis of the impact of research and development (R&D) has been extensively studied in…
Abstract
Efficiency and productivity has always being a key issue in economic science. The analysis of the impact of research and development (R&D) has been extensively studied in industries and countries of more or less aggregated level. This chapter aims to investigate the impact of corporate R&D in performance of low-tech industries, medium-tech, and high-tech in OECD countries.
This chapter aims to answer the questions: Is the impact of R&D significant for all types of industries? If so, what are the differences and the magnitude of these effects in each of these types of industries?
To this end, an unbalanced data set from 2000 to 2011 was collected for the main countries of Europe and the United States concerning low-, medium-, and high-tech to analyze the impact of the magnitude of corporate R&D and capital accumulation on productivity of these industries. The productivity of industries was measured by stochastic parametric frontier functions, in order to measure the efficiency of R&D and accumulation of capital on labor productivity.
The main results highlight the impact of corporate R&D on productivity of high-tech industries, but for other industries those relations are not clear. However, capital accumulation became crucial on low technology to improve their performance. These results, although needing to include a more extensive data set of industries across countries, refer the need for policy and decision makers to allocate public funds for R&D in high-tech industries, while the investment in capital seems crucial, particularly in low-tech industries to improve the productivity.
Details
Keywords
High-growth firms (HGFs) make a considerable contribution to economic growth, and in recent years they have received increasing interest from entrepreneurship scholars. By…
Abstract
High-growth firms (HGFs) make a considerable contribution to economic growth, and in recent years they have received increasing interest from entrepreneurship scholars. By analysing recent findings in the literature of high-growth firms, this study identifies some Stylized Facts, as well as contradictory findings, and also some unknowns regarding the determinants and internal strategies of HGFs, particularly on the persistence of their superior growth performance and the implications of recent findings for economic policy.
Details
Keywords
Bruno S. Sergi, Elena G. Popkova, Anastasia A. Sozinova and Olga V. Fetisova
This chapter models industrial, tech, and financial cooperation between Russia and the countries of the Asia-Pacific region. We use several complex methods of economic and…
Abstract
This chapter models industrial, tech, and financial cooperation between Russia and the countries of the Asia-Pacific region. We use several complex methods of economic and mathematical modeling to analyze specific features of such cooperation and determine critical factors in industrial, technological, and financial development. The preferable choice for the Asia-Pacific region is cooperation with Russia, which is ready for an increase in imports of industrial and high-tech products as well as joint industrial innovational entrepreneurship. Investments would lead to synergetic effects, ensuring simultaneous industrial, technological, and financial development.
Details
Keywords
Preetam Gaikwad and Christoph Dörrenbächer
Despite the mounting evidence of gazelles’ higher economic contribution, there is no consensus on whether and how to support gazelles. In this chapter, we therefore discuss varied…
Abstract
Despite the mounting evidence of gazelles’ higher economic contribution, there is no consensus on whether and how to support gazelles. In this chapter, we therefore discuss varied gazelle policy views as well as the inherent challenges of supporting gazelles. Here, we draw on relevant academic literature as well as on international policy examples. Additionally, we analyze Germany’s gazelle policy stance by triangulating information collected from the literature, practical policy examples and interviews, we carried out with German support agencies and policymakers. Though Germany’s general policies and framework conditions create necessary conditions for gazelles to emerge, they are insufficient to guarantee their prevalence. Moreover, Germany’s policy approach of encouraging new firm formation and self-employment and its focus on the financial support for small as well as technology or innovation-oriented firms is not consistent with the state-of-the-art knowledge about gazelles. Using the case of Germany, we argue that general entrepreneurship policies and high-growth entrepreneurship (gazelle) policies are distinct approaches having divergent and sometimes conflicting objectives and support mechanisms, which need to be synchronized to be effective.
Details
Keywords
Natalia Guseva and Vera Rebiazina
What core strategic capabilities should multinational and domestic firms possess to create competitive organization in Russia? In this chapter, we try to answer this question with…
Abstract
What core strategic capabilities should multinational and domestic firms possess to create competitive organization in Russia? In this chapter, we try to answer this question with our pilot case study of six firms operating in the Russian high-tech, low-tech, and services markets – four global companies and two Russian firms. Our research shows that customer orientation is the crucial strategic capability, highlighted by all of the firms involved in the research. For multinational and high-tech players, this is followed by research and development, mentioned by two-thirds of the respondents. Moreover, the four multinational companies leverage their strategic capabilities of cross-cultural management and general sales capabilities as keys for their success in Russia. Russian firms emphasize importance of entrepreneurship, understanding local customer needs, and an engaged team as strategic capabilities that particularly differentiate them from the multinational players in the Russian market.
Details
Keywords
Rebecca R. Kehoe and Christopher J. Collins
This chapter develops a theoretical model using the equifinality perspective to connect multiple systems of HR practices to alternative organizational structure types. We argue…
Abstract
This chapter develops a theoretical model using the equifinality perspective to connect multiple systems of HR practices to alternative organizational structure types. We argue that firms following an exploitation strategy maintain competitive advantage through high levels of efficiency and reliability in production and delivery of existing products or services. Firms following an exploration strategy maintain a competitive advantage through continuous innovation and knowledge exchange and combination. Hence, organizations are more likely to successfully execute either strategy by implementing an HR system that would create the organizational structural characteristics that support the workforce requirements of the chosen strategy.