IDEAS home Printed from https://ideas.repec.org/a/ids/ijrevm/v1y2007i2p177-199.html
   My bibliography  Save this article

Direct and indirect effects of innovation on revenue growth: comparison between the US and Taiwanese electronics firms

Author

Listed:
  • Chung-Jen Fu
  • Chi-Bin Cheng
  • Bao-Guang Chang
  • Young-Jou Lai

Abstract

Innovation is essential for high-tech/electronic companies to succeed in a globally competitive environment. It is important for a firm to understand the efficiency of an innovation, so that they can appropriately allocate the resources to obtain optimal revenues. This study utilises the neoclassical production function of economics theory to model the revenue growth of electronics firms with respect to various types of innovation. The model is employed to analyse and compare the direct and indirect effects of innovation between US and Taiwanese electronics firms. Based on the model derived from the neoclassical production function, a non-linear regression model is constructed to identify the contributions of various types of innovation through empirical data from the two countries. The sample sizes of the data from the two countries are 1,900 and 803 for the USA and Taiwan, respectively. Empirical results conclude that the direct innovation effects of US firms are stronger than those of Taiwanese firms, while the indirect effects demonstrate a reverse direction.

Suggested Citation

  • Chung-Jen Fu & Chi-Bin Cheng & Bao-Guang Chang & Young-Jou Lai, 2007. "Direct and indirect effects of innovation on revenue growth: comparison between the US and Taiwanese electronics firms," International Journal of Revenue Management, Inderscience Enterprises Ltd, vol. 1(2), pages 177-199.
    • Handle: RePEc:ids:ijrevm:v:1:y:2007:i:2:p:177-199
    as

    Download full text from publisher

    File URL: http://www.inderscience.com/link.php?id=12698
    Download Restriction: Access to full text is restricted to subscribers.
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:ids:ijrevm:v:1:y:2007:i:2:p:177-199. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Sarah Parker (email available below). General contact details of provider: http://www.inderscience.com/browse/index.php?journalID=99 .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.