Innovation activities of firms: the case of 8 cis waves in the Czech industry between 2001 and 2014

Institute of Technology and Business in České Budějovice, Department of management, Okružní 517/10, 370 01 České Budějovice, Czech Republic

^* Corresponding author: marek.vokoun@mail.vstecb.cz

Abstract

Eight Czech CIS waves between 2001-2014 were analyzed. An adjusted (incomplete) CDM model was used to estimate effects of characteristics of firms (firm size, government funding, market orientation, or foreign ownership) on the innovation process (decision to innovate, R&D intensity, sales from innovated goods). Public support had a very limited or even negative effect on innovation inputs and outputs. This analysis suggests that there is no relationship between R&D expenditures and sales of innovated goods. The coefficients are quite similar for new-to-the-market innovators and new-to-the-enterprise innovators. The orientation of the world market is a highly important factor of new-to-the-market innovators. The ability to capture sales of innovated goods is higher for smaller firms, but only for the new-to-the-firm innovators. The analysis also showed differences between innovators in service sector and manufacturing sector. Cooperation is a positive factor of innovation intensity in the manufacturing sector; however on average, there is zero effect of cooperation in the service sector. World market orientation is a key factor of service companies.