IDEAS home Printed from https://ideas.repec.org/p/unm/unumer/2013024.html
   My bibliography  Save this paper

How do ICT firms in Turkey manage innovation? : diversity in expertise versus diversity in markets

Author

Listed:
  • Akçomak S.
  • Akdeve E.
  • Fındık D.

    (UNU-MERIT)

Abstract

This paper provides a novel taxonomy of firms based on specialization versus diversification in production and markets. Firms may choose to specialize on few production activities or alternatively may build expertise in many activities. There is an accompanying decision when firms sell their products whether to serve few or many markets. We argue that the location on the specialization-diversification spectrum significantly affects how firms manage innovation. For a sample of 90 innovator ICT firms in Ankara we find that cooperation structure, sources of innovation and funding of RD display statistically significant different patterns according to the specialization-diversification taxonomy.

Suggested Citation

  • Akçomak S. & Akdeve E. & Fındık D., 2013. "How do ICT firms in Turkey manage innovation? : diversity in expertise versus diversity in markets," MERIT Working Papers 2013-024, United Nations University - Maastricht Economic and Social Research Institute on Innovation and Technology (MERIT).
    • Handle: RePEc:unm:unumer:2013024
    as

    Download full text from publisher

    File URL: https://unu-merit.nl/publications/wppdf/2013/wp2013-024.pdf
    Download Restriction: no
    ---><---

    Other versions of this item:

    References listed on IDEAS

    as
    1. Laforet, Sylvie, 2008. "Size, strategic, and market orientation affects on innovation," Journal of Business Research, Elsevier, vol. 61(7), pages 753-764, July.
    2. Teece, David J., 2010. "Technological Innovation and the Theory of the Firm," Handbook of the Economics of Innovation, in: Bronwyn H. Hall & Nathan Rosenberg (ed.), Handbook of the Economics of Innovation, edition 1, volume 1, chapter 0, pages 679-730, Elsevier.
    3. G. M.P. Swann, 2009. "The Economics of Innovation," Books, Edward Elgar Publishing, number 13211.
    4. Tether, Bruce S., 2002. "Who co-operates for innovation, and why: An empirical analysis," Research Policy, Elsevier, vol. 31(6), pages 947-967, August.
    5. Michael Fritsch & Monika Meschede, 2001. "Product Innovation, Process Innovation, and Size," Review of Industrial Organization, Springer;The Industrial Organization Society, vol. 19(3), pages 335-350, November.
    6. Carsten Eckel & J. Peter Neary, 2010. "Multi-Product Firms and Flexible Manufacturing in the Global Economy," The Review of Economic Studies, Review of Economic Studies Ltd, vol. 77(1), pages 188-217.
    7. Sidney G. Winter, 2000. "The Satisficing Principle in Capability Learning," Strategic Management Journal, Wiley Blackwell, vol. 21(10‐11), pages 981-996, October.
    8. Cohen, Wesley M & Klepper, Steven, 1996. "Firm Size and the Nature of Innovation within Industries: The Case of Process and Product R&D," The Review of Economics and Statistics, MIT Press, vol. 78(2), pages 232-243, May.
    9. Oliver Som, 2012. "Innovation without R&D," Springer Books, Springer, number 978-3-8349-3492-5, April.
    10. P. M. Rao & Vijaya Vemuri & Peter Galvin, 2004. "The Changing Technological Profile of the Leading ICT Firms: Evidence from US Patent Data, 1981-2000," Industry and Innovation, Taylor & Francis Journals, vol. 11(4), pages 353-372.
    11. Almus, Matthias & Czarnitzki, Dirk, 2003. "The Effects of Public R&D Subsidies on Firms' Innovation Activities: The Case of Eastern Germany," Journal of Business & Economic Statistics, American Statistical Association, vol. 21(2), pages 226-236, April.
    12. repec:bla:jindec:v:50:y:2002:i:4:p:369-90 is not listed on IDEAS
    13. de Faria, Pedro & Lima, Francisco & Santos, Rui, 2010. "Cooperation in innovation activities: The importance of partners," Research Policy, Elsevier, vol. 39(8), pages 1082-1092, October.
    14. Andrea Vaona & Mario Pianta, 2008. "Firm Size and Innovation in European Manufacturing," Small Business Economics, Springer, vol. 30(3), pages 283-299, March.
    15. Martin Srholec & Bart Verspagen, 2008. "The Voyage of the Beagle in Innovation Systems Land. Explorations on Sectors, Innovation, Heterogeneity and Selection," Working Papers on Innovation Studies 20080220, Centre for Technology, Innovation and Culture, University of Oslo.
    16. Santangelo, Grazia D., 2001. "The impact of the information and communications technology revolution on the internationalisation of corporate technology," International Business Review, Elsevier, vol. 10(6), pages 701-726, December.
    17. Ritter, Thomas & Gemunden, Hans Georg, 2003. "Network competence: Its impact on innovation success and its antecedents," Journal of Business Research, Elsevier, vol. 56(9), pages 745-755, September.
    18. Saul Lach, 2002. "Do R&D Subsidies Stimulate or Displace Private R&D? Evidence from Israel," Journal of Industrial Economics, Wiley Blackwell, vol. 50(4), pages 369-390, December.
    19. Dominic Power & Mats Lundmark, 2004. "Working through Knowledge Pools: Labour Market Dynamics, the Transference of Knowledge and Ideas, and Industrial Clusters," Urban Studies, Urban Studies Journal Limited, vol. 41(5-6), pages 1025-1044, May.
    20. David J. Teece, 2007. "Explicating dynamic capabilities: the nature and microfoundations of (sustainable) enterprise performance," Strategic Management Journal, Wiley Blackwell, vol. 28(13), pages 1319-1350, December.
    21. Uwe Cantner & Holger Graf, 2004. "Cooperation and specialization in German technology regions," Journal of Evolutionary Economics, Springer, vol. 14(5), pages 543-562, December.
    22. Hall, Bronwyn H & Ziedonis, Rosemarie Ham, 2001. "The Patent Paradox Revisited: An Empirical Study of Patenting in the U.S. Semiconductor Industry, 1979-1995," RAND Journal of Economics, The RAND Corporation, vol. 32(1), pages 101-128, Spring.
    23. Franz Tödtling & Markus Grillitsch & Christoph Höglinger, 2012. "Knowledge Sourcing and Innovation in Austrian ICT Companies—How Does Geography Matter?," Industry and Innovation, Taylor & Francis Journals, vol. 19(4), pages 327-348, May.
    24. Scott L. Newbert, 2007. "Empirical research on the resource‐based view of the firm: an assessment and suggestions for future research," Strategic Management Journal, Wiley Blackwell, vol. 28(2), pages 121-146, February.
    25. Erik Døving & Paul N. Gooderham, 2008. "Dynamic capabilities as antecedents of the scope of related diversification: the case of small firm accountancy practices," Strategic Management Journal, Wiley Blackwell, vol. 29(8), pages 841-857, August.
    26. David J. Teece & Gary Pisano & Amy Shuen, 1997. "Dynamic capabilities and strategic management," Strategic Management Journal, Wiley Blackwell, vol. 18(7), pages 509-533, August.
    27. Segarra-Blasco, Agusti­ & Arauzo-Carod, Josep-Maria, 2008. "Sources of innovation and industry-university interaction: Evidence from Spanish firms," Research Policy, Elsevier, vol. 37(8), pages 1283-1295, September.
    28. Keld Laursen, 1998. "Revealed Comparative Advantage and the Alternatives as Measures of International Specialisation," DRUID Working Papers 98-30, DRUID, Copenhagen Business School, Department of Industrial Economics and Strategy/Aalborg University, Department of Business Studies.
    29. Hyukjoon Kim & Hyojeong Lim & Yongtae Park, 2009. "How should firms carry out technological diversification to improve their performance? An analysis of patenting of Korean firms," Economics of Innovation and New Technology, Taylor & Francis Journals, vol. 18(8), pages 757-770.
    30. Pavitt, Keith & Robson, Michael & Townsend, Joe, 1987. "The Size Distribution of Innovating Firms in the UK: 1945-1983," Journal of Industrial Economics, Wiley Blackwell, vol. 35(3), pages 297-316, March.
    31. Ozlem Ozkanli & Erdal Akdeve, 2009. "Cluster and innovation policy for regional development: the case of Turkey," International Journal of Management and Network Economics, Inderscience Enterprises Ltd, vol. 1(2), pages 211-231.
    Full references (including those not matched with items on IDEAS)

    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. Hervas-Oliver, Jose-Luis & Sempere-Ripoll, Francisca & Boronat-Moll, Carles, 2012. "Process innovation objectives and management complementarities: patterns, drivers, co-adoption and performance effects," MERIT Working Papers 2012-051, United Nations University - Maastricht Economic and Social Research Institute on Innovation and Technology (MERIT).
    2. Hyoung Sun Yoo & Chul Lee & Seung-Pyo Jun, 2018. "The Characteristics of SMEs Preferring Cooperative Research and Development Support from the Government: The Case of Korea," Sustainability, MDPI, vol. 10(9), pages 1-18, August.
    3. Danny Samson & Marianne Gloet & Prakash Singh, 2017. "Systematic Innovation Capability: Evidence From Case Studies And A Large Survey," International Journal of Innovation Management (ijim), World Scientific Publishing Co. Pte. Ltd., vol. 21(07), pages 1-43, October.
    4. Maribel Guerrero & David Urbano & Fernando Herrera, 2019. "Innovation practices in emerging economies: Do university partnerships matter?," The Journal of Technology Transfer, Springer, vol. 44(2), pages 615-646, April.
    5. A. Lasagni, 2011. "European SMEs, external relationships and innovation: some empirical evidence," Economics Department Working Papers 2011-EP04, Department of Economics, Parma University (Italy).
    6. Baumann, Julian & Kritikos, Alexander S., 2016. "The link between R&D, innovation and productivity: Are micro firms different?," Research Policy, Elsevier, vol. 45(6), pages 1263-1274.
    7. Becker, Annette & Hottenrott, Hanna & Mukherjee, Anwesha, 2022. "Division of labor in R&D? Firm size and specialization in corporate research," Journal of Economic Behavior & Organization, Elsevier, vol. 194(C), pages 1-23.
    8. Baraldi, Enrico & Gressetvold, Espen & Harrison, Debbie, 2012. "Resource interaction in inter-organizational networks: Foundations, comparison, and a research agenda," Journal of Business Research, Elsevier, vol. 65(2), pages 266-276.
    9. David Audretsch & Agustí Segarra & Mercedes Teruel, 2014. "Why don't all young firms invest in R&D?," Small Business Economics, Springer, vol. 43(4), pages 751-766, December.
    10. Bronzini, Raffaello & Piselli, Paolo, 2016. "The impact of R&D subsidies on firm innovation," Research Policy, Elsevier, vol. 45(2), pages 442-457.
    11. Gang Zheng & Yanting Guo & Yajuan Wang, 2016. "Non-R&D Innovation Patterns in Chinese SMEs: An Empirical Study from Zhejiang Province," International Journal of Innovation and Technology Management (IJITM), World Scientific Publishing Co. Pte. Ltd., vol. 13(06), pages 1-20, December.
    12. Behrens, Vanessa & Berger, Marius & Hud, Martin & Hünermund, Paul & Iferd, Younes & Peters, Bettina & Rammer, Christian & Schubert, Torben, 2017. "Innovation activities of firms in Germany - Results of the German CIS 2012 and 2014: Background report on the surveys of the Mannheim Innovation Panel Conducted in the Years 2013 to 2016," ZEW Dokumentationen 17-04, ZEW - Leibniz Centre for European Economic Research.
    13. Rammer, Christian & Spielkamp, Alfred, 2015. "Hidden Champions - Driven by Innovation: Empirische Befunde auf Basis des Mannheimer Innovationspanels," ZEW Dokumentationen 15-03, ZEW - Leibniz Centre for European Economic Research.
    14. Burak Dindaroglu, 2011. "R&D Productivity and Firm Size in Semiconductors and Pharmaceuticals: Evidence from Citation Yields," Working Papers 1101, Izmir University of Economics.
    15. Nils Grashof & Alexander Kopka, 2023. "Artificial intelligence and radical innovation: an opportunity for all companies?," Small Business Economics, Springer, vol. 61(2), pages 771-797, August.
    16. Fossas-Olalla, Marta & Minguela-Rata, Beatriz & López-Sánchez, José-Ignacio & Fernández-Menéndez, José, 2015. "Product innovation: When should suppliers begin to collaborate?," Journal of Business Research, Elsevier, vol. 68(7), pages 1404-1406.
    17. Camisón, César & Villar-López, Ana, 2014. "Organizational innovation as an enabler of technological innovation capabilities and firm performance," Journal of Business Research, Elsevier, vol. 67(1), pages 2891-2902.
    18. Cohen, Wesley M., 2010. "Fifty Years of Empirical Studies of Innovative Activity and Performance," Handbook of the Economics of Innovation, in: Bronwyn H. Hall & Nathan Rosenberg (ed.), Handbook of the Economics of Innovation, edition 1, volume 1, chapter 0, pages 129-213, Elsevier.
    19. Barge-Gil, Andrés & López, Alberto, 2014. "R&D determinants: Accounting for the differences between research and development," Research Policy, Elsevier, vol. 43(9), pages 1634-1648.
    20. Jim Andersén, 2023. "Green resource orchestration: A critical appraisal of the use of resource orchestration in environmental management research, and a research agenda for future study," Business Strategy and the Environment, Wiley Blackwell, vol. 32(8), pages 5506-5520, December.

    More about this item

    Keywords

    Firm Organization and Market Structure; Information and Internet Services; Computer Software; Management of Technological Innovation and R&D;
    All these keywords.

    JEL classification:

    • O32 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Management of Technological Innovation and R&D
    • L22 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - Firm Organization and Market Structure
    • L86 - Industrial Organization - - Industry Studies: Services - - - Information and Internet Services; Computer Software

    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:unm:unumer:2013024. 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: Ad Notten (email available below). General contact details of provider: https://edirc.repec.org/data/meritnl.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.