Title: The effect of innovation on the financial performance and export intensity of firms in emerging countries

Authors: Juliano Danilo Spuldaro; Alexandre Luis Prim; Fernando Fantoni Bencke; Darlan José Roman

Addresses: Department of Management, University of Western Santa Catarina (UNOESC), Chapeco, Brazil ' Department of Management, National Commercial Apprenticeship Service (SENAC), Blumenau, Brazil ' Department of Management, University of Western Santa Catarina (UNOESC), Chapeco, Brazil ' Department of Management, University of Western Santa Catarina (UNOESC), Chapeco, Brazil

Abstract: This study aims to analyse the effects of innovation when measured by patents on the financial performance and export intensity of firms in emerging countries. An analysis of five years' data from a multinational survey is conducted with 140 predominantly manufacturing firms from Brazil, Russia, India, and China. Our results indicate that firms from emerging countries can take benefits from innovation by leading to higher financial performance and expanding to international markets. We also found that firm size, firm age, and the educational level of employees have positive relationships with financial performance. Additionally, foreign shareholders and the educational level of employees have strong associations with export performance. Thus, these results build upon previous studies for showing innovation as an antecedent of competitiveness for emerging countries' firms.

Keywords: innovation; patent; financial performance; export intensity.

DOI: 10.1504/IJBIR.2021.116382

International Journal of Business Innovation and Research, 2021 Vol.25 No.3, pp.304 - 327

Received: 20 Feb 2019
Accepted: 06 Jun 2019

Published online: 08 Jul 2021 *

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