IDEAS home Printed from https://ideas.repec.org/p/iae/iaewps/wp2000n20.html
   My bibliography  Save this paper

Foreign Ownership, Foreign Competition and Innovation in Australian Enterprises

Author

Listed:
  • Craig Lofts

    (Melbourne Institute of Applied Economic and Social Research, The University of Melbourne)

  • Joanne Loundes

    (Melbourne Institute of Applied Economic and Social Research, The University of Melbourne)

Abstract

This paper empirically investigates the relationship between innovative effort, measured by R&D intensity, and foreign shareholding and competition. The data set used is a sample of large Australian firms between 1994 and 1997. Previous studies have used aggregate variables to account for these international factors. The theory and analysis are extended to account for the differing attributes of separate geographic regions. The results show foreign shareholding and competition to be important influences in determining the level of innovative activity in Australia. In particular, strong evidence is found of a positive association of revenue earned in Europe and a negative association of Asian shareholdings with domestic innovation levels.

Suggested Citation

  • Craig Lofts & Joanne Loundes, 2000. "Foreign Ownership, Foreign Competition and Innovation in Australian Enterprises," Melbourne Institute Working Paper Series wp2000n20, Melbourne Institute of Applied Economic and Social Research, The University of Melbourne.
    • Handle: RePEc:iae:iaewps:wp2000n20
    as

    Download full text from publisher

    File URL: http://melbourneinstitute.unimelb.edu.au/downloads/working_paper_series/wp2000n20.pdf
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Bertschek, Irene, 1995. "Product and Process Innovation as a Response to Increasing Import and Foreign Direct Investment," Journal of Industrial Economics, Wiley Blackwell, vol. 43(4), pages 341-357, December.
    2. Paul M. Romer, 1994. "The Origins of Endogenous Growth," Journal of Economic Perspectives, American Economic Association, vol. 8(1), pages 3-22, Winter.
    3. Gene M. Grossman & Elhanan Helpman, 1994. "Endogenous Innovation in the Theory of Growth," Journal of Economic Perspectives, American Economic Association, vol. 8(1), pages 23-44, Winter.
    4. Rosenberg, Nathan & Steinmueller, W Edward, 1988. "Why Are Americans Such Poor Imitators?," American Economic Review, American Economic Association, vol. 78(2), pages 229-234, May.
    5. Mark Rogers, 2002. "The Influence of Diversification and Market Structure on the R&D Intensity of Large Australian Firms," Australian Economic Review, The University of Melbourne, Melbourne Institute of Applied Economic and Social Research, vol. 35(2), pages 155-172, June.
    6. Mark Rogers, 2000. "Understanding Innovative Firms: An Empirical Analysis of the GAPS," Melbourne Institute Working Paper Series wp2000n08, Melbourne Institute of Applied Economic and Social Research, The University of Melbourne.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Knut Blind & Andre Jungmittag, 2004. "Foreign Direct Investment, Imports and Innovations in the Service Industry," Review of Industrial Organization, Springer;The Industrial Organization Society, vol. 25(2), pages 205-227, June.
    2. Joel Stiebale & Frank Reize, 2008. "The Impact of FDI on Innovation in Target Firms," Ruhr Economic Papers 0050, Rheinisch-Westfälisches Institut für Wirtschaftsforschung, Ruhr-Universität Bochum, Universität Dortmund, Universität Duisburg-Essen.
    3. Demirbag, Mehmet & Apaydin, Marina & Sahadev, Sunil, 2021. "Micro-foundational dimensions of firm internationalisation as determinants of knowledge management strategy: A case for global strategic partnerships," Technological Forecasting and Social Change, Elsevier, vol. 165(C).
    4. repec:zbw:rwirep:0050 is not listed on IDEAS
    5. Stiebale, Joel & Reize, Frank, 2008. "The Impact of FDI on Innovation in Target Firms," Ruhr Economic Papers 50, RWI - Leibniz-Institut für Wirtschaftsforschung, Ruhr-University Bochum, TU Dortmund University, University of Duisburg-Essen.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Juan Pineiro Chousa & Haider Ali Khan & Davit N. Melikyan & Artur Tamazian, 2005. "Institutional and Financial Determinants of Development: New Evidence from Advanced and Emerging Markets," CIRJE F-Series CIRJE-F-326, CIRJE, Faculty of Economics, University of Tokyo.
    2. repec:hal:spmain:info:hdl:2441/6493 is not listed on IDEAS
    3. Andrés Rodríguez-Pose & Riccardo Crescenzi, 2008. "Mountains in a flat world: why proximity still matters for the location of economic activity," Cambridge Journal of Regions, Economy and Society, Cambridge Political Economy Society, vol. 1(3), pages 371-388.
    4. Amol M. Joshi & Todd M. Inouye & Jeffrey A. Robinson, 2018. "How does agency workforce diversity influence Federal R&D funding of minority and women technology entrepreneurs? An analysis of the SBIR and STTR programs, 2001–2011," Small Business Economics, Springer, vol. 50(3), pages 499-519, March.
    5. Steve Dowrick, 1994. "Openness and Growth," RBA Annual Conference Volume (Discontinued), in: Philip Lowe & Jacqueline Dwyer (ed.),International Intergration of the Australian Economy, Reserve Bank of Australia.
    6. Stavins, Robert & Jaffe, Adam & Newell, Richard, 2000. "Technological Change and the Environment," Working Paper Series rwp00-002, Harvard University, John F. Kennedy School of Government.
    7. Mikesell, Raymond F., 1995. "The limits to growth : A reappraisal," Resources Policy, Elsevier, vol. 21(2), pages 127-131, June.
    8. Jeon, Heesang, 2015. "Knowledge and Contemporary Capitalism in Light of Marx's Value Theory," Thesis Commons g5njk, Center for Open Science.
    9. Serrano, Guadalupe & Cabrer, Bernardí, 2000. "Technological "Catch-Up" And Trade Flows. A Panel Data Approach," ERSA conference papers ersa00p152, European Regional Science Association.
    10. Zafar, Muhammad Wasif & Shahbaz, Muhammad & Hou, Fujun & Sinha, Avik, 2018. "¬¬¬¬¬¬From Nonrenewable to Renewable Energy and Its Impact on Economic Growth: Silver Line of Research & Development Expenditures in APEC Countries," MPRA Paper 90611, University Library of Munich, Germany, revised 10 Dec 2018.
    11. repec:ebl:ecbull:v:2:y:2002:i:1:p:1-15 is not listed on IDEAS
    12. Martin, Fernand, 1998. "The economic impact of Canadian university R&D," Research Policy, Elsevier, vol. 27(7), pages 677-687, November.
    13. Voxi Heinrich S Amavilah, 2005. "Human Capital and Income across U.S. Native American Reservations and Trust Lands," GE, Growth, Math methods 0505001, University Library of Munich, Germany.
    14. Moaniba, Igam M. & Su, Hsin-Ning & Lee, Pei-Chun, 2019. "On the drivers of innovation: Does the co-evolution of technological diversification and international collaboration matter?," Technological Forecasting and Social Change, Elsevier, vol. 148(C).
    15. Xavier Vives, 2008. "Innovation And Competitive Pressure," Journal of Industrial Economics, Wiley Blackwell, vol. 56(3), pages 419-469, December.
    16. Mehmet Balcilar & Ojonugwa Usman & George N. Ike, 2023. "Investing green for sustainable development without ditching economic growth," Sustainable Development, John Wiley & Sons, Ltd., vol. 31(2), pages 728-743, April.
    17. Ben Fine, 1998. "Endogenous Growth Theory: A Critical Assessment," Working Papers 80, Department of Economics, SOAS University of London, UK.
    18. Eaton, Jonathan & Kortum, Samuel, 1997. "Engines of growth: Domestic and foreign sources of innovation," Japan and the World Economy, Elsevier, vol. 9(2), pages 235-259, May.
    19. Smolny, Werner & Schneeweis, Thomas Robert, 1996. "Das Ifo-Unternehmenspanel 1980 - 92: Einige Ergebnisse einer Verknüpfung der Umfragen des Ifo-Instituts," Discussion Papers 32, University of Konstanz, Center for International Labor Economics (CILE).
    20. Sudipto Mundle, 2018. "Fifty years of Asian experience in the spread of education and healthcare," WIDER Working Paper Series wp-2018-97, World Institute for Development Economic Research (UNU-WIDER).
    21. Mundle, Sudipto, 2018. "Development of Education and Health Services in Asia and the Role of the State," Working Papers 18/239, National Institute of Public Finance and Policy.
    22. Samia Nour, 2014. "The Importance (Impacts) of Knowledge at the Macro–Micro Levels in the Arab Gulf Countries," Journal of the Knowledge Economy, Springer;Portland International Center for Management of Engineering and Technology (PICMET), vol. 5(3), pages 521-537, September.

    More about this item

    NEP fields

    This paper has been announced in the following NEP Reports:

    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:iae:iaewps:wp2000n20. 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.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with 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: Sheri Carnegie (email available below). General contact details of provider: https://edirc.repec.org/data/mimelau.html .

    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.