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The Effects of the Internationalisation of Firms on Innovation and Productivity. ESRI WP363. December 2010

Siedschlag, Iulia and Zhang, Xiaoheng and Cahill, Brian (2010) The Effects of the Internationalisation of Firms on Innovation and Productivity. ESRI WP363. December 2010. [Working Paper]

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    Abstract

    This paper examines the effects of the internationalisation of firms via foreign direct investment and trade on their innovation and productivity performance. Our econometric results suggest that foreign affiliates and domestic exporters were more likely to invest in innovation and furthermore that they were more likely to be more successful in terms of innovation output and higher productivity than firms that served only the domestic market. On average, innovation output was positively associated with labour productivity over and above other determinants. Access to external knowledge flows explain to a large extent the innovation performance of firms, in particular co-operation with suppliers, with consultants, commercial labs or private R&D institutes, with universities or other higher education institutions.

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    Item Type: Working Paper
    Subjects for non-EU documents: EU policies and themes > Policies & related activities > innovation policy
    Countries > Ireland
    Subjects for EU documents: UNSPECIFIED
    EU Series and Periodicals: UNSPECIFIED
    EU Annual Reports: UNSPECIFIED
    Series: Series > Economic and Social Research Institute (ESRI), Dublin > ESRI Working Papers
    Depositing User: Alyssa McDonald
    Official EU Document: No
    Language: English
    Date Deposited: 11 Jul 2017 16:48
    Number of Pages: 56
    Last Modified: 11 Jul 2017 16:48
    URI: http://aei.pitt.edu/id/eprint/87909

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