Fulvio, Castellacci (2012): Business Groups, Innovation and Institutional Voids in Latin America.
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The paper presents an empirical analysis of the innovative activities of business groups in Latin America. It compares the innovativeness of group-affiliated firms (GAFs) and standalone firms (SAFs), and it investigates how country-specific institutional factors – financial, legal, and labor market institutions – affect the group-innovation relationship. The empirical analysis is based on the most recent wave of the World Bank Enterprise Survey (period 2010-2011), and it focuses on a sample of 6500 manufacturing firms across 20 Latin American countries. The econometric results point out two major conclusions. First, GAFs are more innovative than SAFs: we estimate the innovation propensity of GAFs to be 9% higher than that of SAFs. Secondly, across countries, the innovativeness of GAFs is higher for national economies with a better institutional system than for countries with a less efficient institutional set up.
|Item Type:||MPRA Paper|
|Original Title:||Business Groups, Innovation and Institutional Voids in Latin America|
|Keywords:||Business groups; innovation; institutional voids; emerging economies; Latin America|
|Subjects:||O - Economic Development, Technological Change, and Growth > O1 - Economic Development
L - Industrial Organization > L2 - Firm Objectives, Organization, and Behavior
D - Microeconomics > D2 - Production and Organizations
P - Economic Systems > P5 - Comparative Economic Systems
O - Economic Development, Technological Change, and Growth > O5 - Economywide Country Studies > O54 - Latin America; Caribbean
M - Business Administration and Business Economics; Marketing; Accounting > M2 - Business Economics
O - Economic Development, Technological Change, and Growth > O3 - Technological Change; Research and Development; Intellectual Property Rights
L - Industrial Organization > L1 - Market Structure, Firm Strategy, and Market Performance
|Depositing User:||Fulvio Castellacci|
|Date Deposited:||22. Sep 2012 20:08|
|Last Modified:||11. Feb 2013 20:27|
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