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Investigating a neglected part of Schumpeter’s creative army : what drives new-to-the-market innovation in micro-enterprises?

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Roper, Stephen and Hewitt-Dundas , Nola (2017) Investigating a neglected part of Schumpeter’s creative army : what drives new-to-the-market innovation in micro-enterprises? Small Business Economics, 49 (3). pp. 559-577. doi:10.1007/s11187-017-9844-z ISSN 0921-898X.

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Official URL: http://dx.doi.org/10.1007/s11187-017-9844-z

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Abstract

Schumpeterian arguments related to creative destruction place small, entrepreneurial firms at the centre of the innovation process. The exclusion of micro-enterprises (with less than 10 employees) from most innovation surveys means, however, that we know relatively little about innovation among this group of firms. Here, using new survey data on a thousand micro-enterprises we explore the determinants of new-to-the-market innovation, the basis for the Schumpeterian creative destruction (CD) process. Our results provide strong support for the interactive nature of micro-enterprise innovation, and suggest the potential value of a model of interactive creative destruction (ICD). Contrary to some other recent evidence, market-based and supplier-based collaboration both prove important for new-to-the-market innovation. Our results suggest the importance of micro-enterprises as sources of new-to-the-market innovation and the potential value of including such firms in future innovation studies.

Item Type: Journal Article
Subjects: H Social Sciences > HD Industries. Land use. Labor
Divisions: Faculty of Social Sciences > Warwick Business School
Library of Congress Subject Headings (LCSH): Small business, Technological innovations, Entrepreneurship
Journal or Publication Title: Small Business Economics
Publisher: Springer New York LLC
ISSN: 0921-898X
Official Date: October 2017
Dates:
DateEvent
October 2017Published
18 March 2017Available
7 February 2017Accepted
Volume: 49
Number: 3
Page Range: pp. 559-577
DOI: 10.1007/s11187-017-9844-z
Status: Peer Reviewed
Publication Status: Published
Access rights to Published version: Open Access (Creative Commons)
Date of first compliant deposit: 9 February 2017
Date of first compliant Open Access: 21 July 2017
Funder: Economic and Social Research Council (Great Britain) (ESRC)
Grant number: ES/K006614/1

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