The diffusion/adoption of innovation in the internal market

The main aim of the present study is to analyze the drivers of innovation adoption by (i) developing proper measures able to proxy for innovation adoption and internal market regulations, (ii) identifying the channels through which innovation adoption takes place and (iii) assessing the main determinants of this adoption process within the internal market. An original model is derived from the theoretical literature on innovation diffusion. Results show that the impact of the transmission channels on innovation adoption is especially important for cooperation, leaving trade and competition as apparently minor channels of innovation diffusion (and especially depending on the type of innovation adoption under examination). The overall result argues that more cooperation across firms and countries is going to be beneficial to the process of innovation adoption.The Diffusion/Adoption of Innovation in the Internal Market, Community Innovation Survey, Micro Data, Cooperation, Trade, Competition, Suriñach, Autant-Bernard, Manca, Massard, Moreno

The determinants of innovation adoption

Using a sample of 46 000 EU firms from the Community Innovation Survey, this paper analyses the drivers of innovation adoption. In contrast to most empirical studies on innovation diffusion in which a specific technology is analyzed, this study covers several countries and industries in the European Union. Following Van de Ven and Van Praag (1981), Heckman's method is applied in a context of binary endogenous variable to explain the choices made by firms regarding innovation. Distinctions are made between the internal generation of innovation and the adoption of innovation produced by others, as well as between different types of adoption (product vs. process and cooperation-based adoption vs. isolated adoption). The study is focused on the impact of users' features and their cooperation with suppliers on the adoption choices. The results point out that cooperation is a key driver of adoption choices. Usual determinants such as firm size, absorptive capability or exports would foster generation of innovation instead of adoption.Innovation adoption; Innovation diffusion; Community Innovation Survey; Process adoption; Product adoption

Drivers for innovation in production management

The aim of this paper is to examine the effectiveness of innovative programmes in construction. The term 'best practice' is commonly used in industry in to describe and disseminate cases where high levels of performance have been achieved. Several terminologies are used to describe this phenomenon, the best practice being the most widely used term. Best practices usually stimulate a desire in other companies to achieve similar levels of performance or gains that have been obtained by those best practice companies. This desire for better performance commonly triggers an innovation adoption programme by other companies. However, there are two kinds of drivers to innovation adoption: one is usually started by normative pressures applied by customers, suppliers, regulators or senior management. This type of adoption is called push-driven. On the other hand, there is a pull-driven innovation adoption decision, which is triggered strictly by an internal need associated with a performance gap. Based on this background this paper explores the generation, development and adoption of innovative programmes by industry

ICT as an Enabler for Innovation Adoption

In this paper we investigate how two online services (a portal and a digital library) may influence the adoption of an innovation. It is known from prior surveys that the installation services branch of the Dutch building industry has a relatively slow adoption rate for innovations. We examine if these two online services can influence the attitude towards the adoption of innovations. From the academic literature we have derived a list of factors that influence the attitude towards adoption by individuals. We limited this project to a number of factors that are commonly referred to as technological factors. Using an online digital library and a custom-built portal, we conducted a field experiment with a post-test only control group design for one particular innovative product (a gas-analysis device); the test was performed using a survey. Our main finding is that the portal has a significant and positive effect towards the adoption of the innovation by an individual. We did not find a significant impact for the use of the digital library. On the basis of this experiment, we propose that online services that offer a high degree of interaction amongst their users are more likely to induce an increase in the willingness of an individual to adopt an innovation.innovation;adoption;digital library;portal;field experiment.

Assessing the effect of the CAP on farm innovation adoption. An analysis in two French regions

Literature on innovation adoption mechanism has emphasised the positive effect of Single Farm Payments (SFP) and Rural Development Payments on adoption of new technologies. In this context, the expected process of CAP reforming after 2013 is likely to strengthen the role of innovation in the European Union (EU). The objective of this paper is to identify the determinants of the adoption of future innovation, in particular in connection to past innovation, and to assess the role of agricultural policy in the promotion of innovation adoption. The analysis is applied to two regions (Centre and Midi-Pyrénées) in France. Two separate Count models are developed in order to explain famers’ stated intention concerning different intensities of innovation adoption under two different policy scenarios. Preliminary results highlight that the CAP strongly affects the decision to innovate and the innovation intensity, even if there is no statistical significance for the variable connected to the amount of payments or the level of payment per hectare.innovation, sequences of innovation, CAP, zero inflated Poisson model, Agricultural and Food Policy, Q12, Q18,

Explaining international new venture internationalisation: An innovation adoption model

The increasing prevalence of International New Ventures (INVs) during the past twenty years has been highlighted by numerous studies (Knight and Cavusgil, 1996, Moen, 2002). International New Ventures are firms, typically small to medium enterprises, that internationalise within six years of inception (Oviatt and McDougall, 1997). To date there has been no general consensus within the literature on a theoretical framework of internationalisation to explain the internationalisation process of INVs (Madsen and Servais, 1997). However, some researchers have suggested that the innovation diffusion model may provide a suitable theoretical framework (Chetty & Hamilton, 1996, Fan & Phan, 2007).The proposed model was based on the existing and well-established innovation diffusion theories drawn from consumer behaviour and internationalisation literature to explain the internationalisation process of INVs (Lim, Sharkey, and Kim, 1991, Reid, 1981, Robertson, 1971, Rogers, 1962, Wickramasekera and Oczkowski, 2006). The results of this analysis indicated that the synthesied model of export adoption was effective in explaining the internationalisation process of INVs within the Queensland Food and Beverage Industry. Significantly the results of the analysis also indicated that features of the original I-models developed in the consumer behaviour literature, that had limited examination within the internationalisation literature were confirmed. This includes the ability of firms, or specifically decision-makers, to skip stages based om previous experience

Innovation, Adoption, Ownership, and Productivity: Evidence from Ukraine

How do new and foreign firms achieve superior productivity? Do they conduct more and better R&D? Or do they distinguish themselves through computerization and organizational capital? We investigate the determinants of and returns to several types of investment, using a panel of over 40,000 Ukrainian industrial firms in 2000-2007. Foreign firms engage in more non-technological investment and IT and less in R&D than domestic private firms. Similarly, new firms invest more in non-technological capital and IT and less in R&D than initially state-owned firms. Productivity gains from R&D and non-technology investment are insignificantly different across ownership types, whereas foreign firms achieve much higher returns to IT investment than other firms. These results suggest that foreign firms outperform others via organizational capital that is better able to exploit IT investment. New firm productivity growth is a result of higher investment volume rather than investment efficiency.R&D, information technology, foreign ownership, transition, Eastern Europe, Ukraine

Strategic Choice between Process and Product Innovation under Different Competitive Regimes

This paper investigates the strategic choice between introducing a process or a product innovation in a duopoly model with vertical differentiation, comparing the outcomes in case of Bertrand and Cournot competition. It is shown that under both competitive regimes three equilibria in innovation adoption may arise: two symmetric equilibria, where firms select the same innovation type, and one asymmetric equilibrium. The competitive regime has an impact on the features of the asymmetric equilibrium, since in case of Bertrand competition, the high (low) quality firm chooses a product (process) innovation, while firms make the opposite choices in case of Cournot competition. The presence of a leapfrogging effect (only in the Cournot competitors tend to favor the introduction of a new product in comparison with the Bertrand competitors.vertical differentiation, innovation adoption, process and product innovation, competitive regime.

The Sources of Innovation: Evidence from Case Studies among IT Service Providers

Creating and adopting innovations is important for the development of firms and whole economies. Several theoretic approaches are therefore dealing with innovation adoption and diffusion and the motivation of firms to innovate. Diffusion of Innovation theory explains the effect of innovation characteristics on innovation adoption and diffusion, the Resource-based View of the Firm focuses on the use of slack resources and their influence on innovation while the Behavioral Theory of the Firm predicts problemistic search as motivation for innovative maneuvers. This paper investigates how the use of slack resources and problemistic search differentially impact the effect of innovation characteristics on innovation adoption of IT service providers. The results indicate that firms’ different motivations to innovate differentially moderate the effect of innovation characteristics on innovation adoption

Revisiting innovation adoption theory through electronic public relations

The purpose of the study is to shed light in the innovation adoption process taking place in the public relations field through the use of Web 2.0 applications and social network activities. Design/methodology/approach: Innovation adoption of Electronic Public Relations (EPR) is examined at a personal, organizational and environmental level by employing for each one of the previous a number of different sub-dimensions leading to the creation and verification of a hierarchical tree structure. Findings: E-pr innovation adoption can be influenced at a personal, organizational and environmental level. Each of the aforementioned levels are hierarchically linked to a number of factors that can actually speed up the process. Originality/value: Never before to our knowledge the E-pr adoption process was examined as a hierarchical model bridging the innovation adoption literature with the public relations literatur