Does Excellence in Academic Research Attract Foreign R&D?

We examine the role of host countries' academic research strengths in global R&D location decisions by multinational firms. While we expect that a firm's propensity to perform R&D in a host country increases with the strength of local academic research, firms are expected to be heterogeneously positioned to benefit from academic research strengths due to differences in the capacity to absorb and utilize scientific knowledge. We find support for these conjectures in an analysis of foreign R&D activities in 40 host countries and 30 technology fields by 176 leading European, US and Japanese firms during the periods 1995-1998 and 1999-2002. Controlling for a wide range of host country factors, the number of relevant ISI publications by scientists based in the host country has a substantial positive impact on the propensity to conduct foreign R&D. The effect of academic research is significantly larger for firms with a stronger science orientation in R&D - as indicated by citations to scientific literature in prior patents. For host countries with a strong relevant science base, this greater responsiveness of science oriented firms more than offsets a generally greater inclination to concentrate R&D at home. The findings appear robust across a variety of specifications.R&D internationalization, Knowledge sourcing, Absorptive capacity, Industry-science links

Does Excellence in Academic Research Attract Foreign R&D?

We examine the role of host countries’ academic research strengths in global R&D location decisions by multinational firms. While we expect that a firm’s propensity to perform R&D in a host country increases with the strength of local academic research, firms are expected to be heterogeneously positioned to benefit from academic research strengths due to differences in the capacity to absorb and utilize scientific knowledge. We find support for these conjectures in an analysis of foreign R&D activities in 40 host countries and 30 technology fields by 176 leading European, US and Japanese firms during the periods 1995-1998 and 1999-2002. Controlling for a wide range of host country factors, the number of relevant ISI publications by scientists based in the host country has a substantial positive impact on the propensity to conduct foreign R&D. The effect of academic research is significantly larger for firms with a stronger science orientation in R&D - as indicated by citations to scientific literature in prior patents. For host countries with a strong relevant science base, this greater responsiveness of science oriented firms more than offsets a generally greater inclination to concentrate R&D at home. The findings appear robust across a variety of specifications.R&D Internationalization, Knowledge sourcing, Absorptive capacity, Industry-science links

Economic and competence regions: a descriptive analysis of Danish regions

The prosperity of the capital city and surrounding area has been used as one fundamental argument for localisation of large foreign companies. But recent research on regional systems of innovation has emphasised, not just the structure of the system, like strong educational institutions, better transportation systems and access to political actors, but also the local knowledge base as determinants. Today, the structural factors are less important in part because of ICT, but also because policy initiatives have become embedded in the local political system, whereas the local knowledge base and access to highly specialised personnel like engineers (Dalum et al., 1999) are strongly emphasised. The success factors of a region has been narrowed down to eight (Isaksen (1998) and Voyer (1998)): specialisation within one or more industries; the role of local networks; availability of R&D and educational institutions; access to a qualified work force; access to competent financial institutions; cooperation between firms and other institutions; contacts to knowledgeable milieus elsewhere and a high degree of innovativeness (differences are seen between Isaksen and Voyer, these eight are based on Isaksen (op. cit. page 15-21). The aim of this paper is to explore some of the above mentioned success characteristics for the 14 counties ('aemter') in Denmark to discuss whether the main economic region in Denmark is also the competence region, and to what extent it is successful. The paper tries to assess to what extent the financial strengths or weaknesses reflect the innovation capacity of the region and how the relationship evolves over time. Furthermore, the paper attempts to identify the main drivers of growth within the regional system of innovation. Hence, does the capital region (Copenhagen and surroundings) of Denmark encompass better conditions in terms of the local knowledge base, the scientific and technical potential and the availability of trained personnel than the Western part of Denmark (incl. Funen and Jutland) for the development of knowledge intensive clusters. A discussion of the terms economic and competence region is given in the paper and indicators are applied. The local knowledge base is in particular thought of as the technological and scientific knowledge, which are proxied by patents, bibliometrics and educational data. The dual nature of knowledge production is stressed in the discussion of the regions. On the one hand, the firm localises in areas of complementary knowledge assets within the same industry, but benefits can accrue to a region from the activities of firms in that region (Voyer 1998: 81) as well. Furthermore, the role of universities and research institutes is important in two respects, first as sources of significant innovation-generating knowledge (Acs et al. 1998: 112), and second as educators of future employees of the firms in the region (for empirical tests see Almeida (1999)). To address these issues, the paper presents indicators of the science potential, the availability of personnel as well as the density of scientific and technical personnel. Finally, the role of local policy makers is discussed in two short case studies in the final part of the paper. From the descriptive parts the paper moves on to test whether the above variables are determinants of value added (economic growth), technological specialisation (strong local knowledge base) and international ...?

Traces of prior art. An analysis of non-patent references found in patent documents.

Research in the area of innovation has pointed out the relevance of conceiving innovation as processes in which a multitude of actors and a variety of interactions play a role. Integrative notions like (national) innovations systems, (techno-scientific) networks, or the triple helix metaphor, have been widely accepted as relevant to grasp the complexities entailed. This development highlights the need for indicators that mirror the dynamics involved. This contribution presents an in-depth examination of the role of 'Non-Patent references', found in patents. After examining the occurrence of these references in the USPTO and EPO patent systems, the precise nature of these references is delineated by means of a systematic content analysis of two samples of non-patent references (n=10.000). Our observations reveal the relevance of 'non-patent references' for developing indicators to depict the proximity of technological and scientific developments. Application areas, limitations and directions for future research are discussed.Academic investors; Field; Industry; Knowledge; Knowlegde interactions; Research; University-industry relations; Working; Area; Innovation; Processes; Innovations; Systems; Networks; Triple-helix; Complexity; Indicators; Dynamics; Patents;

Does Excellence in Academic Research Attract Foreign R&D?.

We examine the role of host countries’ academic research strengths in global R&D location decisions by multinational firms. While we expect that a firm’s propensity to perform R&D in a host country increases with the strength of local academic research, firms are expected to be heterogeneously positioned to benefit from academic research strengths due to differences in the capacity to absorb and utilize scientific knowledge. We find support for these conjectures in an analysis of foreign R&D activities in 40 host countries and 30 technology fields by 176 leading European, US and Japanese firms during the periods 1995-1998 and 1999-2002. Controlling for a wide range of host country factors, the number of relevant ISI publications by scientists based in the host country has a substantial positive impact on the propensity to conduct foreign R&D. The effect of academic research is significantly larger for firms with a stronger science orientation in R&D - as indicated by citations to scientific literature in prior patents. For host countries with a strong relevant science base, this greater responsiveness of science oriented firms more than offsets a generally greater inclination to concentrate R&D at home. The findings appear robust across a variety of specifications.

Civil Engineering Accreditation Document 2013 (Revised 2014)

This is the revised 2013 report for 2014

Management Matters

New indications of managerial innovations are created and then used to show that changes in organizational technologies are an important source of economic growth. Specifically, the analysis demonstrates that, first, in response to a positive managerial technology shock, output, productivity and hours significantly increase in the short run, second, these types of innovations are as important as non-managerial ones in explaining movements in these variables at business cycle frequencies, and, third, product and process innovations promote the development of new managerial techniques.Business Cycles; Productivity; Management techniques; Technical Change

Why Blu-ray vs. HD-DVD is not VHS vs. Betamax: The co-evolution of standard-setting consortia

Extensive research has been conducted on the economics of standards in the last three decades. To date, standard-setting studies emphasize a superior role of demand-side-driven technology diffusion; these contributions assume the evolution of a user-driven momentum and network externalities. We find that consumers wait for a dominant standard if they are unable to evaluate technological supremacy. Thus, supply-side driven activities necessarily need to address a lacking demand-side technology adoption. Our paper focuses on Blu-ray vs. HD-DVD as an illustrative case of consortia standard wars. One central role of consortia is to coordinate strategic behavior between heterogeneous agents, e.g. incumbents, complementors (content providers) and others, but also to form a coalition against other standard candidates. More precisely, we argue for signalizing activities through consortia events. We depict the essential role of consortia structures for the recently determined standard war between the High-Definition disc specifications Blu-ray and HD-DVD. Therefore, the paper suggests that unique supply-side dynamics from consortia structures, consortia announcements and exclusive backing decisions of firms determined the standard-setting process in the Blu-ray vs. HD-DVD standard war. This study is based on the following data: movie releases and sales numbers, membership affiliation for structural consortia analysis, and an in-depth event study. A detailed comparison of the technological specifications of both standard specifications supports our argument that there was no technological supremacy of one standard candidate from a consumer-oriented usecase perspective. We furthermore clarify that content providers (complementors) such as movie studios and movie rental services feature a gate-keeping position in the Blu-ray vs. HD-DVD standard war. In the case of Blu-ray, film studios decided the standard war because the availability of movie releases, but not technological supremacy, made the standard attractive to consumers. Finally, we find that there is a co-evolution of the consortia in terms of membership dynamics. Particularly, firm allegiance of heterogeneous agents plays a crucial role. --Blu-ray,HD-DVD,standard wars,co-evolution,consortia,event study