Innovation, ownership and profitability
Love, James H. (James Hamilton), 1956-, Roper, Stephen and Du, Jun. (2009) Innovation, ownership and profitability. International Journal of Industrial Organization, Volume 27 (Number 3). pp. 424-434. ISSN 0167-7187Full text not available from this repository.
Official URL: http://dx.doi.org/10.1016/j.ijindorg.2008.11.001
This paper considers the relationship between innovation, ownership and profitability for a panel of manufacturing plants in Ireland and Northern Ireland. Previous literature suggests that innovators are persistently more profitable than non-innovators, but little is known about how this link is moderated by external versus domestic ownership. We consider the link between innovation and profits separately for indigenous innovators and non-innovators and externally-owned plants. We also consider the determinants of innovation over the distribution of plant-level profitability, and find that the determinants of profitability including innovation and external ownership - vary over the distribution from low to high profitability plants. We find support for the view that innovators and non-innovators have different profitability determinants, and that the profitability of externally-owned plants depends on very different factors to those of indigenously-owned enterprises. (C) 2008 Elsevier B.V. All rights reserved.
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