News from the ERC. May  2016
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This month sees the launch of our new look website - designed & built by
Standout UK - Effective Marketing with new features including the
ERC Monthly Blog.

Read the May Blog by ERC Director Stephen Roper 
Growing productivity: a Scottish recipe

New report reveals immigrants eye for business
The GEM UK 2015 Monitoring report is published today.
The report compiled by Professor Mark HartProfessor Jonathan Levie and Dr Karen Bonner - compares Global Entrepreneurship Monitor (GEM) measures of entrepreneurial attitudes, activity and aspiration in the UK with Germany and the United States (US).  It also summarizes entrepreneurial attitudes, activity and aspiration across the four nations of the UK and reports on changes in business start-up funding expectations throughout the business cycle.
Click here to download the report 
Read the full press release here
Secondary Analysis of the Longitudinal Small Business Survey (BIS)
ERC – in partnership with BMG research – was awarded this BIS funded project related to the Secondary Analysis of the Longitudinal Small Business Survey.
This project will run till April 2017 and  involves three main elements:
  • Provide survey and descriptive reports on the second wave of the LSBS. BMG will lead on this element of the project.  
  • Conducting some secondary analysis of the second wave of the LSBS survey designed to explore aspects of SME growth and its drivers. ERC lead
  • Run a small grant competition on behalf of BIS for secondary analysis of the first wave of the LSBS. This has recently been launched through the LSBS user group.


Latest Publications 

 Local and firm-level influences on innovation performance: linkages, climate and externalities.
Research Paper No. 40
Stephen Roper Warwick University / James Love Warwick University / Karen Bonner  Aston University 
Local policy action emphasising Interest in the local dimension of economic development has intensified in recent years with changes in the English policy landscape 
In this paper we use an augmented version of the UK Innovation Surveys 4-7 to explore firm-level and local area influences on firms’ innovation performance. We find strong evidence of the value of external knowledge acquisition both through interactive collaboration and non-interactive contacts such as demonstration effects, copying or reverse engineering. Levels of knowledge search activity remain well below the private optimum, however, due perhaps to informational market failures. In terms of the effects of the local innovation eco-system on firms’ innovation three results stand out.
  • No significant relationship between either local labour quality or employment composition and innovative outputs.
  • Strong positive externalities of openness resulting from the intensity of local interactive knowledge search – a knowledge diffusion effect., 
  • strong negative externalities resulting from the intensity of local non-interactive knowledge search - a competition effect.

The roles and effectiveness of design in new product development: a study of Irish manufacturers.
Research Paper No. 41
Stephen Roper Warwick University / Pietro Micheli  Warwick University / James Love Warwick University/
Priit Vahter Warwick University
Investments in design can make a significant contribution to successful new product development (NPD). However, there is insufficient evidence on the most appropriate or effective role that design could play. Previous case-based research has identified alternative roles for designers in NPD, but there is only tentative evidence over such roles’ contribution to NPD outcomes.
Using data on a large sample (c. 1300) of Irish manufacturing plants we are able to examine the effectiveness of three different levels of involvement of designers in NPD and their impact on NPD novelty and success.

Click here to read the full paper
Absorptive capacity and ambidexterity in R&D: linking technology alliance diversity and firm innovation.
Research Paper No. 42
Abel Lucena University of the Balearic Islands, Palma (Spain) / Stephen Roper Warwick University 

The aim of this study is to examine how firms realize the benefits associated with a diverse range of technology alliances. We propose and test the hypothesis that firms’ knowledge combination capabilities mediate the relationship between technology alliance diversity innovation. Using panel data for Spanish manufacturing companies during the period 2004-2011, we provide evidence that firms’ absorptive capacity and ambidexterity in R&D serve as mediating mechanisms between technology alliance diversity and innovative performance Our study advances the literature on technology alliances by showing how firms use their portfolios of technology alliances to form their combination capabilities, and subsequently, to enhance innovation outcomes. 

Click here to read the full paper

The market for Technology Licensing in the UK
Research Paper No. 43
Suma Athreye Brunel University /  Rhian Eveleigh UK Intellectual Property Office.
The social benefit of a patent system lies in its ability to underpin the circulation of technology in the economy through technology licensing and in facilitating the growth of technology markets. This evidence brief considers the main dimensions of the technology licensing market in the UK, drawing on expenditure data from the Community Innovation Survey in order say more about the characteristics of buyers in the market. This is an area which remains relatively under explored and can provide a useful basis upon which to develop effective policy. We estimate the size of the technology licensing market, highlight the temporary nature of licensing expenditure and explore the participation of firms. We find small firms are more frequent purchasers of technology licensing but large firms account for the larger shares of spending.  Similarly, R&D services firms are large buyers of technology licenses and dominate spending in the technology licensing.  We also find the participation of innovative firms dominates that by non-innovative firms.

Click here to read the full paper
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ERC Engagement 

"Does Entrepreneurship Make you Wealthy? Incomes, Wealth and The Role of Entrepreneurial Households"
Drawing on ERC research
Professor Sara
Carter, presented 
the Keynote Address via video link to the  XXV Latin American Entrepreneurship Research Congress on  April 20th 2016. 

Click here to download Research Paper No 25


The ERC State of Small Business Britain conference will take place Autumn 2016.
To pre - register your interest in this event , please click here 

Other News 

ERC Vacancy. Impact and Engagement Lead
The Enterprise Research Centre is looking for an enthusiastic and dynamic individual to take on a new role as Impact and Engagement Lead. This is a senior role with a focus on engaging with senior policy makers from government and building links to appropriate members of the research team. Central to the role is the need to be a credible voice with senior policy makers and the role will suit an individual who has substantial policy experience.

For further details & application please click here  

Endorsement for ERC Research from  Innovate UK Delivery Plan 
‘‘We will continue funding the ERC in the next financial year and beyond.
It has already provided world-class research information on the factors driving SME growth and innovation’s role in it, which helps inform the design and
implementation of our programmes’.
Copyright © 2016 Enterprise Research Centre, All rights reserved.

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