• Journal of Technology Innovation
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• v.30 no.4
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• pp.57-82
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• 2022

As the strategy to support SMEs' innovation has shifted to induce market-oriented innovation, the Korean government increasingly invests in grant-type R&D projects proposed by SME firms. This study reveals the characteristics of grant-type R&D projects proposed by SME firms through a transition of national R&D strategy and demand-pull innovation perspectives. This study also examines the differences between grant-type R&D projects proposed by firms and R&D projects led by the government through logit-analysis and propensity score matching methods. As a result, we found that a national R&D project for SMEs yields better innovation performance when the project is proposed by a company than led by the government.

• Journal of Technology Innovation
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• v.8 no.1
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• pp.31-48
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• 2000

Nowadays the role of region has been increased, as knowledge, science and technology become important in economic development. This paper argues that a system approach is needed to enhance regional S&T capabilities. Under the this approach, we can identify a concept of regional innovation systems as sub-systems of a national innovation system. This paper investigates Korean regional innovation systems based on R&D budget of regional governments. According to this paper, Korean regional governments' R&D investment is very insufficient. There were no co-relationship between regional governments' fiscal autonomy from the central government and their R&D investment. This paper argues that such a poor investment will restrict the future development of Korean regional innovation systems. Therefore, this paper suggests some strategic options for the development of regional innovation systems as follows. First, regional governments should increase their R&D budget. Second, their R&D efforts should be related with their specific industrial sectors. Third, they should target not only to create new promising industrial sectors but also to enhance technological capabilities of existing sectors. Fourth, their target group should be small and medium-sized enterprises. Finally, regional governments should adopt small and incremental approach to improve their innovation systems.

• Asia-Pacific Journal of Business Venturing and Entrepreneurship
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• v.12 no.6
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• pp.139-150
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• 2017

In Korea, small and medium-sized enterprises (SMEs) play an pivotal role in the national economy, accounting for 99.9% of all enterprises, 87.9% of total employment, and 48.3% of production. In spite of their crucial role in the national development, most of SMEs suffer from a lack of R&D related resources. Public R&D organizations such as government-funded research institutes can provide SMEs with valuable supplementary technological knowledge and help them build technological capacity. In this regard, this study estimated the effect of internal R&D investment and private-public R&D cooperation on technological innovation of ICT SMEs based on 2016 ETRI Survey. Building on previous literatures, the study established and tested a research model using binary logistic regression analysis. First, internal R&D investment and preferences for open innovation demonstrated the strengthening of R&D collaboration. Second, internal R&D investment and R&D cooperation showed a positive effect on both product and process innovation. Therefore, internal R&D capability and taking advantage of R&D collaboration are needed to achieve technological innovation for SMEs in ICT sector. This study also discuss implications for encouraging private-public R&D cooperation.

• Korean Management Science Review
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• v.23 no.1
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• pp.87-113
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• 2006

This paper describes a comprehensive approach to examine how technological innovation contributes to the renewal of the firm's competences through its dynamic and reciprocal relationship with R&D and product commercialization. Three theories of technology and innovation (R&D and technological knowledge concept, product-process concept, technological interdependence concept) are used to relate technology and innovation to strategic management. Based on those theories, this paper attempts to identify dynamic relationship between product innovation and process innovation by system dynamics, by investigating the aspect of the dynamic changes of the closed feedback circulation structure in which R&D investments drive technological knowledge accumulation, and such knowledge accumulation actualizes product innovation and process innovation, subsequently resulting in the increase of productivity, customer satisfaction, profit generation, and re-investment on R&D from the created profits. This provides the ability to assess the advantages and disadvantages of different technological innovation strategies and commitments, and the opportunity to explore equilibrium point and suggest a generalized technological innovation model under different industry environment parameters and time-strategies.

• Asian Journal of Innovation and Policy
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• v.9 no.3
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• pp.281-307
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• 2020

A variety of approaches are being applied to improve the existing ex-ante evaluation by expert panels in publicly funded R&D. While the objective evaluation criteria are constantly being improved to screen and select the superior projects, alternative approaches such as random prioritization and logical modeling are also underway to overcome the conservative bias of reviewers and to secure disruptive innovation. This study intends to find critical implications for ex-ante evaluation of public R&D system from the comparison of Indonesia and Korea. For the comparative analysis, literature review and expert in-depth interviews are conducted on the national R&D system and the selection evaluation process. In Korea, the selection criteria of projects are legally promulgated for establishing an objective evaluation system, and at the program level, the major considerations in the planning process are specified by Presidential Decree. On the other hand, while Indonesia conducts R&D in 47 strategic fields largely by public research institutes (PRI) based on the non-competitive government contributions. This study draws out implications of institutionalizing the planning process at the level of program, and of increasing the ratio of contract-based competitive funding at the level of project in the national R&D portfolio.

• Asia-Pacific Journal of Business Venturing and Entrepreneurship
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• v.15 no.5
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• pp.175-189
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• 2020

Daejeon City has strived to support the SMEs to innovate technologies based on the capabilities of research and development of the Daedeok Innopolis. It is widely known that technological innovation is the key strategy of Small medium enterprises(SME) to survive and succeed in a market. This study aims to analyze the type and determinants of SME technological innovation in Daejeon. Even though most of firms are the small enterprises which employ less than 10 workers in Daejeon, the number of technology-oriented company per capita in Daejeon is highest in South Korea. The type of technological innovation is divided between product innovation and process innovation. The literature insists that technology-oriented small firm tends to implement product innovation rather than process innovation. SMEs in Daejeon also provided more output from product innovation than process innovation. The empirical analysis provided the results that the determinants of SME's technological innovation depends on its type. The scale of firm, R&D investment, and R&D employees positively influence product innovation of SMEs in Daejeon. However, the impact of R&D employees is not significant on innovating the existing product. Process innovation is positively affected by R&D investment and firm age. The study provides the policy implications to business supporting programs of Daejeon government. The business supporting policy of Daejeon government should focus on supporting each type of technological innovation to promote technological innovation by SME and consider strategies that focus on R&D investment and manpower support.

• Knowledge Management Research
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• v.19 no.3
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• pp.189-223
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• 2018

This paper examined the effect of innovation networks comprising research and development (R&D) collaboration on innovation performance of Korean pharmaceutical firms. As co-assigned patents and co-affiliated publications are common technical outcomes of successful R&D collaboration in the pharmaceutical industry, social network analysis technique was applied for analyzing innovation networks through patent and publication data. Results of Social network analysis indicated that a small set of highly innovative firms in the Korean pharmaceutical industry were actively involved in patenting and publishing. And the analysis of structural equation model found the followings: (1) R&D intensity significantly affected patenting, publication and new drug development, (2) the activity of patenting and publishing was positively related with the innovation performance measured by new drug development, and (3) R&D collaboration in terms of degree centrality of co-patent network played significant moderating roles on the relationships among R&D intensity, patenting, and new drug development. These findings are expected to be helpful to researchers as well as policy-makers to devise innovation-promoting policies in the Korean pharmaceutical industry. Discussions and limitations of the study are provided in the last part.

• 한국디지털정책학회:학술대회논문집
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• 2004.05a
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• pp.95-118
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• 2004

In industrialised countries, innovation is a key source of economic growth. Research is a key driver of technological innovation and involves the process of systematic investigation and/or experimentation to discover new knowledge. The Governments' industry innovation policy supports a business focus on Research and Development (R&D) through a range of programs in order to achieve these aims. The Innovation Statement (DISR 2000, 20010, launched by the Australian Prime Minister?in January 2001, commits an additional $3 billion over five years to encourage and support innovation. The Australian Government aims to?build world competitive firms and strong research capability in industry to strengthen Australia's international competitiveness and increase national prosperity.?It develops policies and programs to enhance investment in innovation. The Australian Government has established a number of R&D funding support programs aimed at increasing the level of R&D in Australia. The backbone of these programs is the tax concession program, which is made up of the 125 per cent R&D tax concession, the 175 per cent premium tax concession and the tax offset. Over 4000 businesses take advantage of the tax concession scheme, which costs the government around $400?million a year. This cost is expected to rise to over half a billion by 2005-06 (Commonwealth of Australia, 2003). Ensuring these resources are invested where they provide significant national economic benefits is a major policy issue. In this sense, this paper looks at the appropriateness, effectiveness and efficiency of the R&D tax concession with costs and benefits analysis.

• Proceedings of the Technology Innovation Conference
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• 2006.02a
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• pp.170-186
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• 2006

The guarantee funds for government policy fund, venture capital investment fund, technology guarantee debt are the core parts of the external financing system in the constant technology innovation company. However, the enterpriser's requirement to keep the technology innovation with minimized management intervention and policy maker's hope to advance technology development with clear operation of funds is enough to request for research of the project investment plan to the R&D project. This paper will analyze whether technology innovation company that creates cash flow prefers to the project investment as a financing program or not, and if prefers, what characters of company affect on this preference. The more the company that pursuit the additional R&D activity separated to on-going items becomes over the fixed size, the more prefers the project investment as future external fund-raising. Together with that, this paper suggests that we can apply the plan like special purpose vehicle, SWORD(Stock Warrant Off-Balance sheet R&D) and R&D Limited Partnership as R&D project investment policy, and improve the system itself.

• Journal of Technology Innovation
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• v.29 no.4
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• pp.95-124
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• 2021

Startups play an important role in economic growth and job creation in niche markets, thus governments regularly expand their research and development(R&D) budgets accordingly. As stratups are more dependent on governments to compensate for insufficient resources and capabilities than large and medium-sized companies, trust in government policies will be important. In this study, we analyzed the impact of startups' trust in government R&D policies on innovation performance. There were three major results. The first result is that government R&D investments in startups increase innovation performance in the manufacturing and high-technology industries but did not affect other industries. The second result is that trust in government R&D policies increased innovation in high-and medium-high technology and manufacturing industries. The third result is that trust in government R&D policies affects innovation before, during, and after evaluation of support process. We analyzed the importance of trust to the effectiveness of government R&D support to determine how to effectively provide it. The results show that governments need to differentiate the types of R&D support they provide according to the target firm's technology level and whether they are a manufacturing company and that appropriate R&D support mechanism should be developed for low-technology and non-manufacturing companies. Finally, governments should allocate resources and make fair and transparent decisions to help companies grow, not to better supervise them.