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Innovation Height and Firm Performance:Using Innovation Survey from Japan

Daiya Isogawa, Kohei Nishikawa and Hiroshi Ohashi ()
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Daiya Isogawa: Faculty of Economics, The University of Tokyo
Kohei Nishikawa: Faculty of Economics, Setsunan University

No CIRJE-F-956, CIRJE F-Series from CIRJE, Faculty of Economics, University of Tokyo

Abstract: This study evaluates the economic impact of product innovation by using firm-level data obtained from the Community Innovation Survey conducted in Japan. It accounts for possible technological spillovers from innovation activities, and examines the extent to which new-to-market product innovation contributes to firm performance. Casual observations on the data reveal that new-to-market product innovation is likely to (1) contribute higher sales for the firm with less cannibalization with existing products; (2) generate higher degree of technological spillovers to other innovations; and (3) be brought by those firms that corroborate with universities and other academic institutions. An econometric analysis on simultaneous equations confirms these observations. Policy implications are also discussed. --

Pages: 37 pages
Date: 2015-02
New Economics Papers: this item is included in nep-cse, nep-ino, nep-sbm and nep-tid
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