Abstract The concept of Open Innovation (OI) has breathed new life into both empirical research and industry practice concerned with distributed and collaborative modes of innovating. While much of the empirical literature has emphasised the innovation enhancing benefits, our study extends existing work that has recorded the limits to open innovation. Using a sample of Belgian firms, we document that open innovation leads to higher rates of project abandonment and to lower rates of project completion; the latter suggesting the presence of delays and interruptions. Among other robustness tests, we address the concern that openness could be endogenous with regard to project abandonment. As we also find that higher abandonment rates coincide with lower future firm performance, we conclude that open innovation may have negative effects on firms’ innovation outcomes because of higher rates of project failures and hold-ups.

Abstract This paper analyzes the different performances of formal vs. informal firms in terms of R&D, Innovation, and Productivity. Using data from the 2011, 2013, and 2015 results of the Micro, Small, and Medium Enterprise Survey in Vietnam, we also evaluate the effects of the transition from an informal to a formal status on firms’ innovativeness and productivity. By accounting for the under-reporting of R&D investments, we show that (i) informal firms invest less in R&D, and (ii) those who switch to a formal status have a higher probability of introducing innovations. However, our study provides evidence of hump-shaped R&D-innovation and innovation-productivity relationships. Also, it identifies the existence of an innovation probability threshold, beyond which informal firms outperform formal ones in productivity. Although the transition to formal status exerts a positive direct effect on productivity, the formalization’s benefits diminish as innovation probability intensifies. Hence, these findings underscore an interesting and hidden trade-off in the linkage between firms’ flexibility and productivity. Even though formal firms have a higher probability of introducing innovations, our results also reveal that—against all odds—(iii) the’underdog’ informal Vietnamese firms may have a higher level of productivity, the more likely they are to introduce radical or incremental innovations. Results also hold when we control for a reverse causality effect of firms’ productivity that may result in a driven factor of their formalizations. Thus, our outcomes challenge one-size-fits-all approaches to formalization, and policymakers should recognize that formalization’s benefits also depend on the innovative profile of firms.

Abstract Accelerators have become crucial facilitators of entrepreneurial growth, yet empirical research on their effectiveness remains fragmented and inconclusive. To this extent, this paper conducts a comprehensive meta-analysis to synthesize quantitative findings and assess the impact of accelerator participation on new venture performance. By analyzing 21 primary studies and 68 effect sizes, the results reveal a statistically significant positive effect of accelerator participation. The study identifies key moderating factors, such as program duration, cohort size, sponsorship type, and regional context, which significantly influence venture outcomes. Additionally, the analysis highlights the presence selection biases within accelerator programs. This paper contributes to the theoretical understanding of accelerators by offering insights into their role in enhancing financial and operational dimensions of new venture performance. The findings provide valuable implications for both scholars and practitioners, laying the groundwork for future research on accelerator design and effectiveness.

Abstract We live in an era where research and development (R&D) innovation shapes the future of humanity. However, mixed results regarding the return on investment in R&D, as measured by national-level indicators, often leave policymakers uncertain about the long-term benefits of such investments. Ideally, R&D investments should yield returns by influencing key economic indicators. This study explores the multilevel effects of R&D investment on national economic performance, focusing on its secondary impacts on stock market valuation, industry value added, and patent activity, with attention to country characteristics such as technological advancement. In general, R&D investment is positively associated with GDP. For technologically advanced countries, value added from R&D innovation, especially when reflected in increased industry value, is the primary driver of GDP growth. In contrast, for developing countries, R&D investment has significant yet conditional economic effects, with human development playing a key role in driving growth.

Abstract Over the past decades, the business incubation literature has examined how and to what extent specific strategies and business models influence the performance of this entrepreneurial support mechanism. Although the literature profoundly impacts the understanding of how business incubators support entrepreneurs, the current literature is fragmented and lacks generalizability. In particular, an integrated overview of how to develop strategies and business models for business incubators remains incomplete. Since the performance of a business incubator depends on the development and alignment of its strategy and business model, scientists and practitioners are still debating the effectiveness of business incubators. This systematic literature review addresses the fragmentation and lack of generalizability of strategy and business model development by analyzing 41 research papers to summarize the existing literature. Building on these insights, this study proposes a dynamic framework to simplify the development of business incubation strategies and business models, aiming to improve performance. The results also suggest new research avenues and offer actionable guidelines for business incubator managers and stakeholders involved to provide a reference for improving support for entrepreneurs.

Abstract Effective technological innovation relies on having ample knowledge resources to enhance firm performance and knowledge creation. Innovators seek both internal and external knowledge, actively engaging in a continuous search for these valuable resources. Knowledge collaboration is a specific strategy that innovative firms can follow during Artificial Intelligence (AI) adoption processes. This study investigates the role of AI and knowledge collaboration in firm innovation. Using data from 14,143 firms in the UK between 2004 and 2020, we explore how AI adoption impacts knowledge spillover of innovation. Our findings suggest that firms adopting AI can enhance their innovation performance if it complements firm’s own investment in R&D. AI adoption can substitute knowledge collaboration with certain external partners. The results help us to rethink resource allocation for knowledge spillover of innovation in the era of AI and digital technologies.