Public funding for product, process and organisational innovation in service industries

C. Annique Un and Angeles Montoro-Sanchez

The Service Industries Journal, 2008, vol. 30, issue 1, 133-147

Abstract: Innovation is important for the competitive advantage of firms, especially for service firms. We argue that public funding, such as that from national and international agencies, is likely to have a positive influence on firms' innovations by complementing private funding, such as that from foreign and/or domestic firms and organisations. Unlike manufacturing firms, service firms tend to lack complementary resources for innovation; therefore, the additional funding from public sources enables them to acquire the necessary resources for innovation. Empirical results support our arguments.

Date: 2008
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DOI: 10.1080/02642060802252035

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The Service Industries Journal is currently edited by Eileen Bridges, Professor Domingo Ribeiro, Ronald Goldsmith, Barry Howcroft and Youjae Yi

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