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University--industry linkages and absorptive capacity: an empirical analysis of China's manufacturing industry

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  • Stefan Brehm
  • Nannan Lundin

Abstract

We analyze the contribution of universities to innovative performance in China's manufacturing sector. Our empirical analysis is based on a matched data set comprising about 20,000 large- and medium-sized companies aggregated at the three-digit industry level and information on university knowledge output for 31 provinces between 1998 and 2004. We show that universities’ impact on commercial innovation varies with the type of activity performed and is contingent on the manufacturing sector's investment in absorptive capacity. In addition, our results confirm organizational theory stating that there is a complementary relationship between capabilities to acquire and assimilate external knowledge on the one hand and the capacity to transform and exploit this knowledge on the other.

Suggested Citation

  • Stefan Brehm & Nannan Lundin, 2012. "University--industry linkages and absorptive capacity: an empirical analysis of China's manufacturing industry," Economics of Innovation and New Technology, Taylor & Francis Journals, vol. 21(8), pages 837-852, November.
    • Handle: RePEc:taf:ecinnt:v:21:y:2012:i:8:p:837-852
    DOI: 10.1080/10438599.2012.687503
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    Cited by:

    1. Aihua Chen & Donald Patton & Martin Kenney, 2016. "University technology transfer in China: a literature review and taxonomy," The Journal of Technology Transfer, Springer, vol. 41(5), pages 891-929, October.
    2. Shi, Xing & Wu, Yanrui & Fu, Dahai, 2020. "Does University-Industry collaboration improve innovation efficiency? Evidence from Chinese Firms⋄," Economic Modelling, Elsevier, vol. 86(C), pages 39-53.
    3. Sebastian Kobarg & Jutta Stumpf-Wollersheim & Isabell M. Welpe, 2018. "University-industry collaborations and product innovation performance: the moderating effects of absorptive capacity and innovation competencies," The Journal of Technology Transfer, Springer, vol. 43(6), pages 1696-1724, December.
    4. Hsu, David H. & Hsu, Po-Hsuan & Zhao, Qifeng, 2021. "Rich on paper? Chinese firms’ academic publications, patents, and market value," Research Policy, Elsevier, vol. 50(9).
    5. Roman Fudickar & Hanna Hottenrott, 2019. "Public research and the innovation performance of new technology based firms," The Journal of Technology Transfer, Springer, vol. 44(2), pages 326-358, April.
    6. Aoife Hanley & Wan-Hsin Liu & Andrea Vaona, 2015. "Credit depth, government intervention and innovation in China: evidence from the provincial data," Eurasian Business Review, Springer;Eurasia Business and Economics Society, vol. 5(1), pages 73-98, June.

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