'Better bend than break': an econometric study on non-technological innovations during crisis times in Argentina
by Javier Papa
International Journal of Technological Learning, Innovation and Development (IJTLID), Vol. 8, No. 2, 2016

Abstract: This article analyses the extent to which the pursuit of non-technological innovations, besides the introduction of technological ones, could have made manufacturing firms in Argentina more resilient to the country's last economic crisis (1998-2001). Drawing mostly on latecomer firm theory, and touching upon the literature on non-technological innovations and crises, an econometric analysis is conducted on micro data stemming from the Second Innovation Survey of Argentina (INDEC, 2003). The empirical results show that the introduction of product and process innovations positively impacted latecomer firms' performance in time of crisis although with a different magnitude than that observed in developed countries. Most importantly, organisational innovations had a positive impact on firms' sales and productivity only when measured as inputs rather than outputs, suggesting the importance of organisational capabilities in time of crisis. Further implications for theory, methodology and policy are also derived.

Online publication date: Tue, 21-Jun-2016

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