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The Influence of Corporate Governance on Innovation Dimensions – Case Study of European Emergent Countries

Author

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  • Gabriela Lucia SIPOS

    (West University of Timisoara)

  • Alin IONESCU

    (West University of Timisoara)

Abstract

In the context of continuous transformation and development of the corporate sector in emergent and developed countries, the different approaches of corporate governance and innovation have attracted attention of researchers, legislators and practitioners. The main purpose of this paper is to identify the possible influence of corporate governance on the companies’ innovation activities, considering four representative dimensions in the case of each analyzed concept. In this regard, the paper proposes two informational indicators: corporate governance index and innovation index, using a dataset provided by World Bank Database for 26 European emergent countries. Using the generalized linear model framework in order to test the relationship between these two indicators, the main result of this paper highlights that corporate governance have a significant impact on companies’ innovation activities in case of selected countries.

Suggested Citation

  • Gabriela Lucia SIPOS & Alin IONESCU, 2017. "The Influence of Corporate Governance on Innovation Dimensions – Case Study of European Emergent Countries," ECONOMIC COMPUTATION AND ECONOMIC CYBERNETICS STUDIES AND RESEARCH, Faculty of Economic Cybernetics, Statistics and Informatics, vol. 51(4), pages 159-172.
    • Handle: RePEc:cys:ecocyb:v:50:y:2017:i:4:p:159-172
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    References listed on IDEAS

    as
    1. Daniel Shapiro & Yao Tang & Miaojun Wang & Weiying Zhang, 2015. "The effects of corporate governance and ownership on the innovation performance of Chinese SMEs," Journal of Chinese Economic and Business Studies, Taylor & Francis Journals, vol. 13(4), pages 311-335, November.
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    6. Sapra, Haresh & Subramanian, Ajay & Subramanian, Krishnamurthy V., 2014. "Corporate Governance and Innovation: Theory and Evidence," Journal of Financial and Quantitative Analysis, Cambridge University Press, vol. 49(4), pages 957-1003, August.
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    More about this item

    Keywords

    corporate governance; ownership; innovation; technologies and licenses; emergent countries;
    All these keywords.

    JEL classification:

    • G34 - Financial Economics - - Corporate Finance and Governance - - - Mergers; Acquisitions; Restructuring; Corporate Governance
    • Q55 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Environmental Economics: Technological Innovation
    • O16 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Financial Markets; Saving and Capital Investment; Corporate Finance and Governance
    • O30 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - General

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