How important is industry-specific managerial experience for innovative firm performance?

Arbeitspapier

This study examines how industry-specific managerial experience affects firms' innovation performance in the context of different institutional environments. Based on firm-level data from 27 Central and Eastern European countries we identify a robust positive relationship between industry-specific experience of the top-manager and the decision to innovate as well as the share of new product-related sales. These effects are particularly pronounced for small firms operating outside the European Union or, more generally, in institutionally less developed countries. The results suggest that managerial experience affects firm innovations largely indirectly, for example, by reducing uncertainty about future returns on innovations or by providing knowledge about how to cope with institutional shortfalls potentially hampering the commercial success of new products.

Object Details

• Language: Englisch

References and Relationships

• Bibliographic citation: Series: ZEW Discussion Papers ; No. 14-011

Classification and Topics

• Classification: Wirtschaft ; Corporate Finance and Governance: Government Policy and Regulation ; Firm Performance: Size, Diversification, and Scope ; Management of Technological Innovation and R&D ; Socialist Systems and Transitional Economies: Political Economy; Property Rights
• Subject: Corporate Governance ; Innovation ; Managerial Experience

Contributors, Places and Time

• Event: Geistige Schöpfung
• (who): Balsmeier, Benjamin ; Czarnitzki, Dirk
• Event: Veröffentlichung
• (who): Zentrum für Europäische Wirtschaftsforschung (ZEW)
• (where): Mannheim
• (when): 2014

Further information

• Handle: http://hdl.handle.net/10419/91726
• URN: urn:nbn:de:bsz:180-madoc-359313
• Last update: 10.03.2025, 11:45 AM CET