Explaining the levels of innovation and R&D in New Zealand's small and medium-sized enterprises: too many small firms?

Article

Battisti, Martina, Deakins, David and Roxas, Hernan. 2010. "Explaining the levels of innovation and R&D in New Zealand's small and medium-sized enterprises: too many small firms? " Small Enterprise Research. 17 (2), pp. 177-192.
Article Title

Explaining the levels of innovation and R&D in New Zealand's small and medium-sized enterprises: too many small firms?

ERA Journal ID36108
Article CategoryArticle
AuthorsBattisti, Martina (Author), Deakins, David (Author) and Roxas, Hernan (Author)
EditorsMason, Colin
Journal TitleSmall Enterprise Research
Small enterprises research: the journal of SEAANZ
Journal Citation17 (2), pp. 177-192
Number of Pages16
Year2010
Place of PublicationMaleny, Australia
ISSN1175-0979
1321-5906
Web Address (URL)http://www.atypon-link.com/EMP/doi/abs/10.5172/ser.17.2.177
Abstract

This paper is concerned with explaining the levels of innovative activity in New Zealand's SMEs. It is arguable that New Zealand provides a special case where innovation and R&D levels are comparatively low in SMEs, yet, paradoxically, it is also a nation of high rates of entrepreneurial activity. This paper seeks to examine the factors that affect innovation levels in New Zealand SMEs from an analysis of panel data set of 1500 SMEs. We test research propositions based on existing theory and literature on innovation levels in SMEs and discuss our findings. Firm size is found to be significant, we argue that New Zealand has too few growth firms rather than too many small firms and we suggest that barriers to innovation, such as access to finance, remain an issue which should be a focus for government support.

Keywordsinnovation; research and development (R&D); small and medium-sized enterprises (SMEs)
ANZSRC Field of Research 2020350716. Small business organisation and management
380109. Industry economics and industrial organisation
359999. Other commerce, management, tourism and services not elsewhere classified
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Byline AffiliationsMassey University, New Zealand
School of Management and Marketing
Institution of OriginUniversity of Southern Queensland
ISBN9781921729478
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