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Managerial Efficiency Versus Schumpeter in Innovation Game

Author

Listed:
  • Bughin, J.

    (UNIVERSITE CATHOLIQUE DE LOUVAIN, Institut de Recherches Economiques et Sociales (IRES); McKinsey & Co, Brussels)

  • Jacques, J.M.

    (University of Namur)

Abstract

This note uses an unique dataset to investigate respectively : - the effects of managerial efficiency on the firm’s innovative activity ; - the effects of controlling explicitly for managerial efficiency on the SCHUMPETERIAN relationship that firm size and market concentration are both conductive to innovation. The key findings are : - managerial efficiency is an important factor which shapes the firm’s innovation performance ; - only when one controls for managerial variables considered as success factors for innovation, the Schumpeterian effect of the impact of the firm’s market share emerges for a wide range of measures of performance, which confirms ROTHWELL’s (1986) suggestion that small firms have a managerial advantage in innovation.

Suggested Citation

  • Bughin, J. & Jacques, J.M., 1993. "Managerial Efficiency Versus Schumpeter in Innovation Game," LIDAM Discussion Papers IRES 1993016, Université catholique de Louvain, Institut de Recherches Economiques et Sociales (IRES).
    • Handle: RePEc:ctl:louvir:1993016
    as

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