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Sustainability 2018, 10(10), 3607; https://doi.org/10.3390/su10103607

Innovation and Exporting: A Study on Eastern European Union Firms

Department of Economics and Management, University of Ferrara, Via Voltapaletto 11, 44121 Ferrara, Italy
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Received: 12 September 2018 / Revised: 5 October 2018 / Accepted: 8 October 2018 / Published: 10 October 2018
(This article belongs to the Special Issue Economic Geography: Location, Innovation and Sustainable Development)
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Abstract

This paper investigates how firm-level innovation and productivity affect the export propensity in manufacturing firms in seven Eastern European Union countries. With respect to innovation activities, we analyze the complementarity between pair-wise product, process and non-technological (organizational and marketing) innovations when the objective function is represented by the exporting probability of a firm. Analyzing CIS2008 data, we find that productivity always has a positive and significant impact on the exporting propensity of firms. Furthermore, complex innovative firms, when large in size and/or from medium high–high technology sectors, can take advantage in terms of a higher attitude to export than non-innovators and simple innovators. By considering these results, governments have to introduce policies that can induce firms, especially small and medium ones, to implement complex innovations. This is fundamental in order to be more productive and more competitive. View Full-Text
Keywords: Eastern European Union countries; sustainability; exports; productivity; complementarity; innovation Eastern European Union countries; sustainability; exports; productivity; complementarity; innovation
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Bertarelli, S.; Lodi, C. Innovation and Exporting: A Study on Eastern European Union Firms. Sustainability 2018, 10, 3607.

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