A multilevel analysis of the technological impact of university-SME joint innovations

ABSTRACT

The present research analyzes the determinants of the technological impact of the innovations developed by R&D collaborations between universities and Small and Medium Enterprises (SMEs). Specifically, by adopting a multilevel approach, this study reveals the significant role played by SMEs’ absorptive capacity, as well as by social and geographical proximity between the partnering organizations. In addition, this article shows the positive impact of the regional knowledge spillovers that are close to the technological fields of the innovations developed. The findings provide a better understanding of interactive learning in R&D collaborations between universities and SMEs, explaining how it may be further nurtured by knowledge spillovers available in SMEs’ Regional Innovation Systems (RIS). The article may also support SME managers in the definition of these collaborations, university managers in the orientation of their technology transfer effort, as well as policy makers interested in the development of a more effective RIS.

KEYWORDS:

• SME
• university-industry collaboration
• absorptive capacity
• proximity
• regional innovation system

Notes

1 In particular, the lack of specialized human resources, characterized by cutting-edge knowledge and ability to interact in international networks, may reduce SMEs’ capacity to search and absorb international knowledge spillovers (Buse et al., 2010). This does not imply that all SMEs have difficulty in absorbing international spillovers, given that this capacity varies according to the characteristics of the individual firm (Ebersberger & Herstad, 2013) and the sector (Fransman, 2006).

2 RIS may affect the development not only of a single innovation developed by a local SME but also of its own absorptive capacity (Lau & Lo, 2015; Zahra & George, 2002), which can be nurtured, other than by the specific regional innovation policies, by the long-run exposure to local sources of relevant knowledge.

3 https://www.eter-project.com/.

4 To be precise, technological capital may be considered a proxy for the firm’s realized absorptive capacity that is its observed capacity to exploit external knowledge (Zahra & George, 2002). Conversely, technological capital cannot measure potential absorptive capacity, which is the capability to acquire external knowledge, but not to exploit it. This latter dimension of absorptive capacity can be measured by using data, like R&D investments, not available in the present data set.