DO SMALL FIRMS EXPLOIT KNOWLEDGE SPILLOVERS?
Michael B. Heeley, University of Washington
Charles W. L. Hill, University of Washington
Data and Methods
Results and Discussion
Conclusions and Implications
In this paper we argue that firms located in regions with similar enterprises can tap the R&D knowledge of those enterprises and use that knowledge to improve the effectiveness of their own product development efforts. The effect of knowledge spillovers will be moderated by the ability of a firm to understand and evaluate external knowledge. This ability, or absorptive capacity, will vary depending on the size of the firm. Our results suggest that differences in firm absorptive capacity affect the relationship between industry concentration and success of product development, and these relationships vary with firm size.
© 1997 Babson College All Rights Reserved
Last Updated 1/15/97 by Geoff Goldman & Dennis Valencia
To sign-up for the Center for Entrepreneurial
Studies' publication lists,
please register with the Entrepreneurship WebTeam.