R&D Cooperation and Failures in Innovation Projects: Empirical Evidence from French CIS Data

Posted: 27 Jun 2009 Last revised: 10 Jan 2014

See all articles by Stephane Lhuillery

Stephane Lhuillery

Neoma Business School; University of Strasbourg - Bureau of Economic Theory and Application (BETA)

Etienne Pfister

Universite Nancy 2

Date Written: February 1, 2008

Abstract

The second French Community Innovation Survey (CIS) indicates that 14% of R&D collaborating firms had to abandon or delay their innovation projects due to difficulties in their partnerships, an outcome which we term "cooperation failures". Controlling for sample selection on the cooperation decision, our estimates show that firms collaborating with competitors and public research organizations (PROs), especially when they are foreign, are more likely to delay or stop an innovation project because of difficulties encountered in their R&D partnerships. More surprisingly, firms collaborating with their suppliers also face a higher risk of "cooperation failures". At least for PROs, firms can reduce the risk of "cooperation failures" through previous experiences in partnerships. Larger firms and group subsidiaries are less likely to face "cooperation failures", and so do firms in industries with a strong appropriability regime.

Keywords: R&D cooperation, competitors, university, IPR, failure

JEL Classification: O32, L24

Suggested Citation

Lhuillery, Stephane and Pfister, Etienne, R&D Cooperation and Failures in Innovation Projects: Empirical Evidence from French CIS Data (February 1, 2008). Lhuillery, S., & Pfister, E. (2009). R&D cooperation and failures in innovation projects: Empirical evidence from French CIS data. Research Policy, 38(1), 45-57., Available at SSRN: https://ssrn.com/abstract=1426048

Stephane Lhuillery (Contact Author)

Neoma Business School ( email )

1 Rue du Maréchal Juin
Mont Saint Aignan Cedex, 76825
France

University of Strasbourg - Bureau of Economic Theory and Application (BETA) ( email )

France

Etienne Pfister

Universite Nancy 2 ( email )

54035 Nancy Cedex
France

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