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Does Market Competition Stimulate Innovation? : Evidence from Korean Firms
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Does Market Competition Stimulate Innovation? : Evidence from Korean Firms
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This paper empirically investigates whether or not for relationship between innovation activity and competition of Korean manufacturing firms listed on Korea stock exchange market (KOSPI). This paper use patent activity data as proxy for innovation and also industry adjusted price-cost margin and HHI as product market competition measure for the period 1981-2014. We match innovation data from Korean intellectual property office and financial data. In previous paper, there are two competition views which are positive and negative relationship between competition and innovation, and one mixed view which is positive relation from escape competition effect and negative relation from Schumpeterian effect. This paper examines two possibilities that my overturn trade off.

Contents

Abstract
1. Introduction
2. Literature Review and Hypothesis Development
3. Measuring Innovation, Competition and Model
4. Sample and statistics
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UCI(KEPA) : I410-ECN-0101-2017-324-000980043