Economics at your fingertips  

Geographic technological diversification and firm innovativeness

Jun Wen and Li Zheng

Journal of Financial Stability, 2020, vol. 48, issue C

Abstract: This paper examines the impact of geographic technological diversification on firm innovativeness. Our empirical study conducted on a panel of U.S. manufacturing companies shows that firms with geographic technological diversification are more innovative (as measured by both patents and citations) than firms without. Furthermore, we find that the positive relation between geographic technological diversification and firm innovation is driven by domestic technological diversification, while international technological diversification is negatively related to firm innovation. Our valuation tests further confirm the detrimental effect of international technological diversification on shareholder wealth.

Keywords: Geographic technological diversification; Innovation; Domestic; International; R&D (search for similar items in EconPapers)
JEL-codes: L25 O31 O32 (search for similar items in EconPapers)
Date: 2020
References: View references in EconPapers View complete reference list from CitEc
Citations: Track citations by RSS feed

Downloads: (external link)
Full text for ScienceDirect subscribers only

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link:

DOI: 10.1016/j.jfs.2020.100740

Access Statistics for this article

Journal of Financial Stability is currently edited by I. Hasan, W. C. Hunter and G. G. Kaufman

More articles in Journal of Financial Stability from Elsevier
Bibliographic data for series maintained by Haili He ().

Page updated 2020-10-10
Handle: RePEc:eee:finsta:v:48:y:2020:i:c:s1572308920300188