Export and variability in the innovative status

Abstract

The nature of innovation persistence is still open to debate. In this paper, we attempt to shed some light to the topic by providing a novel analysis of the impact of exporting strategies on changes in innovative status. We derive exhaustive information regarding the innovative behavior of firms using a large sample extracted from the Spanish Technological Innovation Panel. Applying both a multinomial and a random-effects probabilistic approach, we observe that exporting experience is relevant to guarantee stability in innovation activities. However, firms exporting only to the EU are comparatively less persistent than those with a broader geographical range, as nearer and safer markets provide less incentives to innovation activities than engaging in broader commercial ventures.