Applied research on growth and innovation would seem to suggest that successful innovations do not enhance firm expansion significantly. This article tests the hypothesis that the level of observation typical of applied research hampers the identification of a significant association between innovation and sales growth rates. Exploiting a unique data set, we find that incremental product innovations commercialized in the immediate past positively affect the revenue streams of specialized business units operating in dynamic environments.
Corsino, M., Gabriele, R. (2011). Product innovation and firm growth: Evidence from the integrated circuit industry. INDUSTRIAL AND CORPORATE CHANGE, 20(1), 29-56 [10.1093/icc/dtq050].
Product innovation and firm growth: Evidence from the integrated circuit industry
Corsino, M
;
2011
Abstract
Applied research on growth and innovation would seem to suggest that successful innovations do not enhance firm expansion significantly. This article tests the hypothesis that the level of observation typical of applied research hampers the identification of a significant association between innovation and sales growth rates. Exploiting a unique data set, we find that incremental product innovations commercialized in the immediate past positively affect the revenue streams of specialized business units operating in dynamic environments.
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