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Effects of internationalization on innovation in the service industry : Evidence from Korea

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  • Effects of internationalization on innovation in the service industry
  • Lee, Jaeho; Lee, Ji-Hwan; Choi, Baeho
  • Korea Institute for International Economic Policy


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Title Effects of internationalization on innovation in the service industry
Similar Titles
Sub Title

Evidence from Korea

Material Type Reports
Author(English)

Lee, Jaeho; Lee, Ji-Hwan; Choi, Baeho

Publisher

[Sejong]:Korea Institute for International Economic Policy

Date 2014-12
Journal Title; Vol./Issue Journal of East Asian Economic Integration:Vol. 18(No. 4)
Subject Country South Korea(Asia and Pacific)
Language English
File Type Link
Subject Economy < Trade
Industry and Technology < Science/Technology
Holding Social Science Research Network

Abstract

This paper examines the impact of internationalization on the product, process and organizational innovations of Korean service firms. Despite the increasing importance of the service sector and the discrepancies in the natures of the manufacturing and service industries, the internationalization-innovation link in the context of service firms has rarely been examined empirically on a large sample. Based on the results of the logistic regressions using the 2006 Korean Innovation Survey data, we found that Korean service firms’ international expansion is significantly and positively associated with their product and organizational innovations. In addition, the magnitude of the estimates in our models revealed that internationalization has a greater impact on product innovation than on process or organizational innovation.