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http://dx.doi.org/10.14386/SIME.2021.29.3.91

Participation in public procurement and firm growth : Focusing on the moderating effect of firm age  

Lee, Mincheol (한양대학교 기술경영전문대학원 및 한국조달연구원)
Jung, Taehyun (한양대학교 기술경영전문대학원)
Publication Information
Journal of Technology Innovation / v.29, no.3, 2021 , pp. 91-119 More about this Journal
Abstract
The importance of industrial policy and innovation policy perspectives on public procurement has recently been highlighted. In particular, there have been discussions and studies on whether public procurement directly affects the growth and innovation of SMEs. As an extension of this study, this study analyzes whether the age of a firm moderating the effect of public procurement on growth among the characteristics of firms participating in public procurement. The analysis data was constructed by matching the financial data of about 1,247 firms designated as excellent products by the Public Procurement Service(PPS) from 2006 to 2017 and the public procurement sales. As a result of analysis through the panel regression model, firms with a greater degree of public procurement showed a higher growth rate, and this relationship was stronger with younger firms. This result not only contributes to the existing academic discussion on the effectiveness of public procurement, but also has significance in the establishment of public procurement policy.
Keywords
Public procurement; Firm age; Growth; Innovation;
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