ABSTRACT
This article demonstrates that the relationship between product innovativeness and employment growth at the firm level depends on (i) market responses to innovations with different degrees of novelty, (ii) the location of firms on the growth distribution and (iii) industry conditions. As a result, research that uses standard regression techniques such as OLS and does not account for innovation characteristics and industry differences fail to properly describe this relationship
Acknowledgments
The author gratefully acknowledges the support received from Tore Sandven during all stages of work with this paper. The usual disclaimers apply.
Disclosure statement
No potential conflict of interest was reported by the author.