In this paper, we describe and develop a two-step model, based on the CDM approach and the new firm paradigm, to link innovation outputs and ICT to productivity gains, using micro-level data from 1,000 Polish companies. Our study confirmed the mediating role of innovations and ICT complementarities with respect to productivity gains. However, the main finding is that the strength of this relationship depends on the company's distance to the technological frontier. We show that the more productive a company is, the more important are co-innovative sources of productivity. Thus, support programmes should also be provided to highly productive companies, which require a higher level of ICT complementarities to boost productivity. This finding may hold true for other CEE countries as well.
This paper examines the relationship between innovation performance and employment growth in firms by taking a closer look at specific innovation activities and industry effects in the context of the services sector. Firm-level CIS data on Polish services firms in 2004-2009 are analyzed using robust Mestimation. The results indicate that the effects of product, process and organizational innovations depend strongly on the level of technological opportunities in the industry in question. Given the widely acknowledged role of marketing innovations in services, possible synergies between innovations in the form of new products and new marketing techniques are also analyzed. We demonstrate that marketing innovations are conducive to firm growth if they complement product innovations, but they are less likely to foster growth when applied in isolation.
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