Innovation and the Growth of Service Firms:The Polish Case

Krzysztof Szczygielski, Wojciech Grabowski and Richard Woodward

No 453, CASE Network Studies and Analyses from CASE-Center for Social and Economic Research

Abstract: Differences in the growth of firms remain a major topic in economics and strategy research.In this paper we investigated the link between innovation performance and employment growth. First we discuss the problem from the theoretical point of view and then we analyze the relationship between innovation performance and the dynamics of employment in the Polish service firms in 2004-2009. Firms that introduced new services or marketing techniques experienced stronger growth. Process innovations contributed to employment reduction. Tellingly, this effect could only be observed in 2008-2009, a subperiod which saw the lowest levels of aggregate demand. This conclusion yields support to the presumption formulated by Pianta (2005) that the impact of innovation on employment growth depends on the macroeconomic situation.

Keywords: Poland; services; innovation; firm growth; quantile regression (search for similar items in EconPapers)
JEL-codes: D22 L25 L80 O33 (search for similar items in EconPapers)
Pages: 20
Date: 2013-06
New Economics Papers: this item is included in nep-cse, nep-ent, nep-ino, nep-knm and nep-sbm
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (1)

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Persistent link: https://EconPapers.repec.org/RePEc:sec:cnstan:0453

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