Abstract

The European economy, and particularly the food sector, is characterised by small and medium enterprises (SMEs). Networking represents for SMEs an opportunity to meet their needs in terms of know-how, and technological and financial resources with the main purpose of fostering innovation and facing global competition. Most scientific studies investigating networking for innovation focus on SMEs as a whole without exploring possible differences between SMEs. An important question to be posed is whether the firms within groups of SMEs behave the same in terms of innovation. The purpose of this paper is to understand whether different ‘innovation profiles’ of Italian food SMEs can be distinguished and to identify the structural factors associated with different profiles, with particular attention to size and networking. The methodology consists of a cluster analysis on data obtained by standardized on-line questionnaires compiled by Italian agri-food SMEs. Moreover, besides the identification of possible heterogeneity within the SME group with regard to innovation behaviour, the paper presents further value by providing useful information on surveyed Italian food SMEs in terms of firm structure and innovation.

Highlights

  • Introduction and objectivesThe food industry is recognised as one of the most important sectors for the Italian economy, providing employment and relevant economic output

  • The purpose of this paper is to understand whether different ‘innovation profiles’ of Italian food small and medium enterprises (SMEs) can be distinguished and to identify the structural factors associated with different profiles, with particular attention to size and networking

  • It can be observed that a large portion of the SMEs in the sample count on international markets and few are active in local markets In particular, micros are more focused on local markets and the medium sized firms are those that mostly focus on the internalisation of their markets

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Summary

Introduction

Introduction and objectivesThe food industry is recognised as one of the most important sectors for the Italian economy, providing employment and relevant economic output. It is well known that the food industry is characterised by small and medium enterprises (SMEs) (Schiemann, 2008). Several aspects affect the behaviour of the sizeinnovation relationship, and in particular a firm’s sector (Acs and Audretsch, 1987). In this regard, food industry, studies have confirmed that larger firms are more innovative than smaller ones (Galizzi and Venturini, 1996; Huiban and Boushina, 1998). Not many authors (Colurcio et al, 2012; Triguero and Corcoles, 2013) have carried out studies on relationships between the size and innovativeness of food enterprises and even less have differentiated between micro, small and medium sized firms

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