IDEAS home Printed from https://ideas.repec.org/a/taf/ecinnt/v29y2020i6p603-624.html
   My bibliography  Save this article

Innovative growth: the role of market power and negative selection

Author

Listed:
  • Hannu Piekkola
  • Jaana Rahko

Abstract

This paper relies on register-based statistical data from Finland to measure broad research and development (R&D), organizational capital (OC) and information and communication technology (ICT) investments as innovation inputs in addition to formal survey-based R&D and CIS survey data on innovations. The linked panel data are appropriate for a comparison of low-market-share (small) and large-market-share (large) firms. We analyze the productivity growth and profitability of Finnish firms with varying market power. In contrast to high-market-share firms, low-market-share firms are characterized by low profit derived from new innovations. This study suggests that in addition to imitative growth, a ‘negative selection mechanism’ explains the high productivity growth relative to the low profits.

Suggested Citation

  • Hannu Piekkola & Jaana Rahko, 2020. "Innovative growth: the role of market power and negative selection," Economics of Innovation and New Technology, Taylor & Francis Journals, vol. 29(6), pages 603-624, August.
    • Handle: RePEc:taf:ecinnt:v:29:y:2020:i:6:p:603-624
    DOI: 10.1080/10438599.2019.1655878
    as

    Download full text from publisher

    File URL: http://hdl.handle.net/10.1080/10438599.2019.1655878
    Download Restriction: Access to full text is restricted to subscribers.
    File URL: https://libkey.io/10.1080/10438599.2019.1655878?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

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

    More about this item

    Statistics

    Access and download statistics

    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:taf:ecinnt:v:29:y:2020:i:6:p:603-624. 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: Chris Longhurst (email available below). General contact details of provider: http://www.tandfonline.com/GEIN20 .

    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.