Innovation strategies of manufacturing companies during expansions and slowdowns

Objective: The aim of the article is to analyse the differentiation in the innovation strategies of the manufacturing companies during economic expansions and slowdowns. Research Design & Methods: The random-effect logistic regression models were used to examine the d...

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Main Author: Jagoda Kaszowska-Mojsa
Format: Article
Language:English
Published: Cracow University of Economics 2020-08-01
Series:Entrepreneurial Business and Economics Review
Subjects:
Online Access:https://eber.uek.krakow.pl/eber/article/view/813
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author Jagoda Kaszowska-Mojsa
author_facet Jagoda Kaszowska-Mojsa
author_sort Jagoda Kaszowska-Mojsa
collection DOAJ
description Objective: The aim of the article is to analyse the differentiation in the innovation strategies of the manufacturing companies during economic expansions and slowdowns. Research Design & Methods: The random-effect logistic regression models were used to examine the differentiation of a firm’s innovation strategies and the probability of innovating in different phases of the business cycle. I used the proprietary Innovation Survey (PNT-02) data, which overlap with the Community Innovation Survey (CIS). Findings: The analyses suggest that the likelihood of implementing innovation changes with the deterioration of macroeconomic conditions. There are groups of manufacturing firms in Poland whose innovation activities are procyclical and countercyclical. Implications & Recommendations: My analyses will help to understand the innovation strategies of the firms. This, in turn, should help to direct public support where it can be used more effectively. The recommendations will be relevant for the National Innovation System in Poland, as they should counterbalance the procyclical impact of a slowdown on a firm’s innovation spending and cooperation in innovation activities. Contribution & Value Added: Previously, the PNT-02 data for 2004-2006 and 2006-2008 were used in the FP6 project on micro determinants of growth (MICRODYN) to identify the barriers to the innovation of the firms and the factors that decreased the probability of firms’ innovativeness. This study indicated a differentiation of the competences between firms that implemented innovation in two periods compared to those that only did so in one period. However, the previous study did not cover a period of an economic slowdown. Therefore, this study will contribute to the state-of-the-art literature by extending the analyses to this period.        
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spelling doaj-art-8b88d1c1ea2147138179da02a35dc2cc2025-08-20T02:46:08ZengCracow University of EconomicsEntrepreneurial Business and Economics Review2353-88212020-08-018410.15678/EBER.2020.080403Innovation strategies of manufacturing companies during expansions and slowdownsJagoda Kaszowska-Mojsa0Institute of Economics, Polish Academy of Sciences Objective: The aim of the article is to analyse the differentiation in the innovation strategies of the manufacturing companies during economic expansions and slowdowns. Research Design & Methods: The random-effect logistic regression models were used to examine the differentiation of a firm’s innovation strategies and the probability of innovating in different phases of the business cycle. I used the proprietary Innovation Survey (PNT-02) data, which overlap with the Community Innovation Survey (CIS). Findings: The analyses suggest that the likelihood of implementing innovation changes with the deterioration of macroeconomic conditions. There are groups of manufacturing firms in Poland whose innovation activities are procyclical and countercyclical. Implications & Recommendations: My analyses will help to understand the innovation strategies of the firms. This, in turn, should help to direct public support where it can be used more effectively. The recommendations will be relevant for the National Innovation System in Poland, as they should counterbalance the procyclical impact of a slowdown on a firm’s innovation spending and cooperation in innovation activities. Contribution & Value Added: Previously, the PNT-02 data for 2004-2006 and 2006-2008 were used in the FP6 project on micro determinants of growth (MICRODYN) to identify the barriers to the innovation of the firms and the factors that decreased the probability of firms’ innovativeness. This study indicated a differentiation of the competences between firms that implemented innovation in two periods compared to those that only did so in one period. However, the previous study did not cover a period of an economic slowdown. Therefore, this study will contribute to the state-of-the-art literature by extending the analyses to this period.         https://eber.uek.krakow.pl/eber/article/view/813innovation strategies; manufacturing sector; CIS survey; slowdown; procyclicality; countercyclicality
spellingShingle Jagoda Kaszowska-Mojsa
Innovation strategies of manufacturing companies during expansions and slowdowns
Entrepreneurial Business and Economics Review
innovation strategies; manufacturing sector; CIS survey; slowdown; procyclicality; countercyclicality
title Innovation strategies of manufacturing companies during expansions and slowdowns
title_full Innovation strategies of manufacturing companies during expansions and slowdowns
title_fullStr Innovation strategies of manufacturing companies during expansions and slowdowns
title_full_unstemmed Innovation strategies of manufacturing companies during expansions and slowdowns
title_short Innovation strategies of manufacturing companies during expansions and slowdowns
title_sort innovation strategies of manufacturing companies during expansions and slowdowns
topic innovation strategies; manufacturing sector; CIS survey; slowdown; procyclicality; countercyclicality
url https://eber.uek.krakow.pl/eber/article/view/813
work_keys_str_mv AT jagodakaszowskamojsa innovationstrategiesofmanufacturingcompaniesduringexpansionsandslowdowns