Abstract
Research and development (R&D) investment affects the growth of firms in the same industry differently according to their technological positions. This study empirically investigates differences in how R&D investment influences firm growth between technological leaders and followers. Additionally, this study investigates the moderating effects of complementary assets and market competition on the relationship between R&D investment and firm growth. Using a sample of 2322 observations from 492 firms in the U.S. chemical and allied products industry for the period 2000-2009, we show that an increase in R&D investment leads to greater firm growth for technological followers than for technological leaders. We also find that the moderating effects of complementary assets and market competition vary depending on whether a firm is a technological leader or follower.
| Original language | English |
|---|---|
| Pages (from-to) | 909-925 |
| Number of pages | 17 |
| Journal | Technology Analysis and Strategic Management |
| Volume | 26 |
| Issue number | 8 |
| DOIs | |
| Publication status | Published - 2014 Jan 1 |
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All Science Journal Classification (ASJC) codes
- Strategy and Management
- Management Science and Operations Research
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What are good R&D investment strategies for leaders and followers? / Zhang, Lian; Park, Kyung Min.
In: Technology Analysis and Strategic Management, Vol. 26, No. 8, 01.01.2014, p. 909-925.Research output: Contribution to journal › Article
TY - JOUR
T1 - What are good R&D investment strategies for leaders and followers?
AU - Zhang, Lian
AU - Park, Kyung Min
PY - 2014/1/1
Y1 - 2014/1/1
N2 - Research and development (R&D) investment affects the growth of firms in the same industry differently according to their technological positions. This study empirically investigates differences in how R&D investment influences firm growth between technological leaders and followers. Additionally, this study investigates the moderating effects of complementary assets and market competition on the relationship between R&D investment and firm growth. Using a sample of 2322 observations from 492 firms in the U.S. chemical and allied products industry for the period 2000-2009, we show that an increase in R&D investment leads to greater firm growth for technological followers than for technological leaders. We also find that the moderating effects of complementary assets and market competition vary depending on whether a firm is a technological leader or follower.
AB - Research and development (R&D) investment affects the growth of firms in the same industry differently according to their technological positions. This study empirically investigates differences in how R&D investment influences firm growth between technological leaders and followers. Additionally, this study investigates the moderating effects of complementary assets and market competition on the relationship between R&D investment and firm growth. Using a sample of 2322 observations from 492 firms in the U.S. chemical and allied products industry for the period 2000-2009, we show that an increase in R&D investment leads to greater firm growth for technological followers than for technological leaders. We also find that the moderating effects of complementary assets and market competition vary depending on whether a firm is a technological leader or follower.
UR - http://www.scopus.com/inward/record.url?scp=84905120280&partnerID=8YFLogxK
UR - http://www.scopus.com/inward/citedby.url?scp=84905120280&partnerID=8YFLogxK
U2 - 10.1080/09537325.2014.918257
DO - 10.1080/09537325.2014.918257
M3 - Article
AN - SCOPUS:84905120280
VL - 26
SP - 909
EP - 925
JO - Technology Analysis and Strategic Management
JF - Technology Analysis and Strategic Management
SN - 0953-7325
IS - 8
ER -