Determinants of Selection of R&D Cooperation Partners: Insights from Korea

Sung Hyo Hong
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Sung Hyo Hong: Economics Department, Kongju National University, Chungnam 32588, Korea

Sustainability, 2021, vol. 13, issue 17, 1-11

Abstract: These days, small and medium-sized enterprises (SMEs) face more severe competition in foreign markets due to the globalization of the economy (e.g., FTA). They usually lack technological capabilities and often depend on external R&D activities. Thus, it is worth exploring what factors facilitate SMEs’ R&D collaboration with partners. This paper empirically analyzes the determinants of SMEs’ selections of R&D cooperation partners in Korea. According to the regression results, SMEs with a larger labor force in R&D, larger sales, younger CEOs, more advanced technologies, and less R&D equipment are more likely to cooperate with external R&D partners. When SMEs produce a product that is not easily imitated by others, they are more willing to cooperate with universities or research institutions but not with suppliers or customers. In sum, for Korean SMEs, the arguments of appropriability and resource complementarity appear to work in their R&D activities. However, the former is more important for collaborations with universities or research institutions, and the latter is more influential to those with suppliers and customers. This paper contributes to the literature in two aspects—quantitative studies on the collaborative innovation of SMEs are still limited, and the differences in cooperation determinants across types of partners are explored due to the richness of the dataset.

Keywords: R&D collaboration; SME; appropriability; resource complementarity (search for similar items in EconPapers)
JEL-codes: O13 Q Q0 Q2 Q3 Q5 Q56 (search for similar items in EconPapers)
Date: 2021
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (2)

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Persistent link: https://EconPapers.repec.org/RePEc:gam:jsusta:v:13:y:2021:i:17:p:9637-:d:623185

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