Innovation can be obtained internally by investing in research and development (R&D) and externally by merger and acquisition (M&A). A fundamental question is whether the relationship between R&D investment and M&A is substitutable or complimentary, and the opinions and evidences are mixed. In...

As digital platforms continue to evolve, they facilitate the exchange of information and create opportunities for innovation-driven growth and introduce new challenges for enterprises navigating research and development-driven transformation. In the study, we used the Probit model, IV-Probit...

Using firm-level data from the German manufacturing sector, we estimate a dynamic, structural model of the firm's decision to invest in R&D and quantify the cost and longrun benefit of this investment. The model incorporates and quantifies linkages between the firm's R&D investment, product and...

This article investigates how a firm's financial strength affcts its dynamic decision to invest in R&D. We estimate a dynamic model of R&D choice using data for German firms in high-tech manufacturing industries. The model incorporates a measure of the firm's financial strength, derived from its...