Knowledge interaction with manufacturing clients and innovation of knowledge-intensive business services firms

Abstract

The existing literature on knowledge-intensive business services (KlBS) predominantly focuses on their role as innovation agents in innovation systems, with limited attention to innovation of KIBS firms in its own right. Using a sample of 181 miaBS firms in Singapore, this paper examines the key determinants of innovation behavior ofKlBS firms. We find that knowledge interaction with manufacturing clients is positively associated with KlBS firms’ own innovation. We also find that export intensity, a strategic focus on marketing and communications, and human capital intensity are positively related to KlBS firms’ own innovation.