Innovation in European food SMEs: determinants and links between types

The food sector has traditionally been considered one with the lowest research and development expenditure to value added ratio. In recent decades, however, the business environment has become more demanding in terms of technological inputs for reasons related to food safety, quality and also the gl...

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Main Authors: Francesca Minarelli, Meri Raggi, Davide Viaggi
Format: Article
Language:English
Published: Firenze University Press 2015-03-01
Series:Bio-based and Applied Economics
Subjects:
Online Access:https://oaj.fupress.net/index.php/bae/article/view/3267
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author Francesca Minarelli
Meri Raggi
Davide Viaggi
author_facet Francesca Minarelli
Meri Raggi
Davide Viaggi
author_sort Francesca Minarelli
collection DOAJ
description The food sector has traditionally been considered one with the lowest research and development expenditure to value added ratio. In recent decades, however, the business environment has become more demanding in terms of technological inputs for reasons related to food safety, quality and also the globalisation of the food market. This provides a strong incentive to innovate, especially for small and medium-sized enterprises (SME) seeking to remain in business. Most businesses operating in the food sector belong to the SME category which, based on the literature, tends to have a low level of research capacity. This study seeks to identify determinants of the types of innovation adopted and associations between them by analysing a sample of European food SMEs. For this purpose a non-parametric analysis, namely the classification tree technique, is carried out. The main finding is that due to the technological factors inherent in the food industry, a tight linkage exists between product, process and market innovation. Moreover, the study shows that collaboration between competitors encourages SMEs to engage in market, process and business model innovation. Conversely, synergy with suppliers and customers supports product innovation.
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spelling doaj.art-22dda15f4af44776b2fb96526ec5b3102022-12-22T00:37:28ZengFirenze University PressBio-based and Applied Economics2280-61802280-61722015-03-014110.13128/BAE-1470512864Innovation in European food SMEs: determinants and links between typesFrancesca Minarelli0Meri Raggi1Davide Viaggi2Department of Agricultural Sciences, University of Bologna, Bologna (Italy)Department of Statistical Sciences, University of Bologna, Bologna (Italy)Department of Agricultural Sciences, University of Bologna, Bologna (Italy)The food sector has traditionally been considered one with the lowest research and development expenditure to value added ratio. In recent decades, however, the business environment has become more demanding in terms of technological inputs for reasons related to food safety, quality and also the globalisation of the food market. This provides a strong incentive to innovate, especially for small and medium-sized enterprises (SME) seeking to remain in business. Most businesses operating in the food sector belong to the SME category which, based on the literature, tends to have a low level of research capacity. This study seeks to identify determinants of the types of innovation adopted and associations between them by analysing a sample of European food SMEs. For this purpose a non-parametric analysis, namely the classification tree technique, is carried out. The main finding is that due to the technological factors inherent in the food industry, a tight linkage exists between product, process and market innovation. Moreover, the study shows that collaboration between competitors encourages SMEs to engage in market, process and business model innovation. Conversely, synergy with suppliers and customers supports product innovation.https://oaj.fupress.net/index.php/bae/article/view/3267food SMEsinnovation
spellingShingle Francesca Minarelli
Meri Raggi
Davide Viaggi
Innovation in European food SMEs: determinants and links between types
Bio-based and Applied Economics
food SMEs
innovation
title Innovation in European food SMEs: determinants and links between types
title_full Innovation in European food SMEs: determinants and links between types
title_fullStr Innovation in European food SMEs: determinants and links between types
title_full_unstemmed Innovation in European food SMEs: determinants and links between types
title_short Innovation in European food SMEs: determinants and links between types
title_sort innovation in european food smes determinants and links between types
topic food SMEs
innovation
url https://oaj.fupress.net/index.php/bae/article/view/3267
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