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Open Innovation, Productivity, and Export: Evidence from Japanese firms

Banri Ito and Ayumu Tanaka

Discussion papers from Research Institute of Economy, Trade and Industry (RIETI)

Abstract: This paper empirically examines the relation between a firm's productivity and its joint decision of research and development (R&D) strategy and exporting, based on Japanese firm-level data and the simple theoretical framework that extends the firm heterogeneity model so that both internal and external (outsourcing or technology purchase) R&D strategies are taken into account. The empirical results from nonparametric and semiparametric methods show that exporting firms engaged in R&D activities are more productive than non-exporters and exporters with no R&D, regardless of whether internal or external R&D strategy is adopted, and that exporters which employ both R&D strategies are the most productive. The results suggest that an open innovation strategy is complementary to an in-house R&D strategy and is crucial for further promoting innovation for internationalized firms.

Pages: 28 pages
Date: 2013-02
New Economics Papers: this item is included in nep-cdm, nep-cse, nep-eff, nep-ino and nep-sbm
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:eti:dpaper:13006

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