eprintid: 9773 rev_number: 6 eprint_status: archive userid: 2 dir: disk0/00/00/97/73 datestamp: 2023-11-21 23:30:18 lastmod: 2023-11-21 23:30:18 status_changed: 2023-11-21 23:30:18 type: article metadata_visibility: show creators_name: Alexeeva-Alexeev, Inna creators_name: Mazas Pérez-Oleag, Cristina creators_id: inna.alexeeva@uneatlantico.es creators_id: cristina.mazas@uneatlantico.es title: Do ICT firms manage R&D differently? Firm-level and macroeconomic effects on corporate R&D investment: Empirical evidence from a multi-countries context ispublished: pub subjects: uneat_cs divisions: uneatlantico_produccion_cientifica full_text_status: none keywords: Innovation; R&D investment; ICT industry; Technological uncertainty; GMM; R&D management abstract: Technological firms invest in R&D looking for innovative solutions but assuming high costs and great (technological) uncertainty regarding final results and returns. Additionally, they face other problems related to R&D management. This empirical study tries to determine which of the factors favour or constrain the decision of these firms to engage in R&D. The analysis uses financial data of 14,619 ICT listed companies of 22 countries from 2003 to 2018. Additionally, macroeconomic data specific for the countries and the sector were used. For the analysis of dynamic panel data, a System-GMM method is used. Among the findings, we highlight that cash flow, contrary to the known theoretical models and empirical evidences, negatively impacts on R&D investment. Debt is neither the right source for R&D funding, as the effect is also negative. This suggests that ICT companies are forced to manage their R&D activities differently, relying more on other funding sources, taking advantage of growth opportunities and benefiting from a favourable macroeconomic environment in terms of growth and increased business sector spending on R&D. These results are similar in both sub-sectors and in all countries, both bank- and market based. The exception is firms with few growth opportunities and little debt. date: 2024-11 publication: Technological Forecasting and Social Change volume: 198 pagerange: 122970 id_number: doi:10.1016/j.techfore.2023.122970 refereed: TRUE issn: 00401625 official_url: http://doi.org/10.1016/j.techfore.2023.122970 access: close language: en citation: Artículo Materias > Ciencias Sociales Universidad Europea del Atlántico > Investigación > Producción Científica Cerrado Inglés Technological firms invest in R&D looking for innovative solutions but assuming high costs and great (technological) uncertainty regarding final results and returns. Additionally, they face other problems related to R&D management. This empirical study tries to determine which of the factors favour or constrain the decision of these firms to engage in R&D. The analysis uses financial data of 14,619 ICT listed companies of 22 countries from 2003 to 2018. Additionally, macroeconomic data specific for the countries and the sector were used. For the analysis of dynamic panel data, a System-GMM method is used. Among the findings, we highlight that cash flow, contrary to the known theoretical models and empirical evidences, negatively impacts on R&D investment. Debt is neither the right source for R&D funding, as the effect is also negative. This suggests that ICT companies are forced to manage their R&D activities differently, relying more on other funding sources, taking advantage of growth opportunities and benefiting from a favourable macroeconomic environment in terms of growth and increased business sector spending on R&D. These results are similar in both sub-sectors and in all countries, both bank- and market based. The exception is firms with few growth opportunities and little debt. metadata Alexeeva-Alexeev, Inna y Mazas Pérez-Oleag, Cristina mail inna.alexeeva@uneatlantico.es, cristina.mazas@uneatlantico.es (2024) Do ICT firms manage R&D differently? Firm-level and macroeconomic effects on corporate R&D investment: Empirical evidence from a multi-countries context. Technological Forecasting and Social Change, 198. p. 122970. ISSN 00401625