Growth Turnover Research Articles

Tax incentives for R&D: supporting innovative scale-ups?

Abstract This article investigates the impact of tax incentives targeting young innovative firms and broader R&D tax incentives where effects on young firms are observed. It examines effects on R&D additionality, R&D wages, employment growth, turnover growth, and sales growth from innovative activities. It draws on academic literature and policy evaluation studies and uses a mixed-method approach based on evaluation synthesis. Evidence on the effectiveness of tax incentives on young and small firms’ employment and economic performance is relatively limited, largely due to a dearth of evaluations. This analysis, based on a limited number of studies, finds that with regard to R&D additionality, generic R&D tax incentives tend to have a larger, or at least as large, effect on young companies, both when compared with companies of average age (with the exception of a study on an Irish tax instrument), and when compared with grants and loans. Some evidence also shows a positive effect on wages. More limited evidence shows that R&D tax incentives targeted at young companies tend to have positive effects on R&D intensity and wages, but that effects decrease relatively if combined with other instruments such as subsidies. With regard to output additionality, generic R&D tax incentives have a limited impact on innovation for all companies and a positive impact on turnover, turnover share of new products or services and labour productivity. There is some evidence of positive effects on employment, productivity, sales and added-value of targeted measures, but these results should be validated using more robust methods.

Dimension effects in the relationship between eco-innovation and firm performance: A European comparison

This study investigates the effect of eco-efficiency actions on firm performance, considering both turnover and employment growth, in the European enterprises with different firm size classes. The sample includes 63303 firms from 13 different European Union countries. The main contributions of this work are the use of the most recent Community Innovation Survey (CIS) and the consideration of firms’ size when analysing the relationship between the introduction of environmental benefits and firm performance. Using the ordinary least squares and simultaneous equation models the results showed that eco-innovations may affect negatively turnover growth as well as employment growth, a result which is not sensitive to firms’ size. However, environmental benefits introduced in products, demanded by the end user, are sensitive to the different size class to which the enterprise belongs. Both human capital and the number of adopted eco-innovation strategies influence positively firm performance, revealing to be more sensitive to the firm size. Overall, policy makers should be aware of the size as an important driver, or conditioning factor, for firm performance when forcing firms to introduce policies regarding environmental benefits.

Skills combinations and firm performance

Creative skills, STEM (science, technology, engineering and mathematics) skills and management skills have all been positively associated with firm performance as well as regional growth. But do firms that combine these types of skills in their workforce grow more quickly than those that do not? We compare the impact of STEM, creative and management skills on their own, and in various combinations, on turnover growth. We use a longitudinal dataset of UK firms over the period 2008–2014 with lagged turnover data to explore whether the combination of skills used by a firm impacts its future turnover growth. Using fixed-effect panel and pooled OLS models, we find that the performance benefits associated with both STEM and creative skills materialize when they are combined with each other or with management skills rather than when they are deployed on their own.

Transfer kapitału ludzkiego z międzynarodowych centrów usług jako czynnik kształtowania konkurencyjności MMŚP w regionie zachodniopomorskim

Polska znajduje się obecnie w czołówce miejsc w Europie Środkowo-Wschodniej, w których lokalizują się międzynarodowe centra usług. Wynika z tego istotne znaczenie analizowania wpływu, jaki mają one na rozwój polskiej gospodarki. Jednym z istotnych efektów wynikających z obecności centrów usług jest przepływ wiedzy, w tym jej transfer do sektora mikro-, małych i średnich przedsiębiorstw (MMŚP) – wiedzy, która odgrywa coraz ważniejszą rolę w procesie kształtowania konkurencyjności, tak w ujęciu mikro-, jak i makroekonomicznym. Celem artykułu jest zatem analiza interakcji zachodzących pomiędzy centrami usług o międzynarodowym zasięgu a mniejszymi podmiotami funkcjonującymi w gospodarkach lokalnych. Szczególny nacisk położony został na przepływ wiedzy ukrytej wynikający z transferu kapitału ludzkiego pomiędzy centrami usług a mikro-, małymi i średnimi przedsiębiorstwami zlokalizowanymi w regionie zachodniopomorskim. W opracowaniu wykorzystano badania ilościowe zrealizowane w latach 2013–2016 na próbie reprezentatywnej regionu. Wyniki badań wskazują, że występuje istotny statystycznie związek pomiędzy badanymi zmiennymi. Ukazują one, iż firmy, których właściciele lub pracownicy mają doświadczenia związane z pracą w międzynarodowych centrach usług, doświadczają bardziej dynamicznego wzrostu obrotów oraz wprowadzają na rynek więcej nowych produktów. Ma to wpływ na konkurencyjność tychże podmiotów, również w ujęciu międzynarodowym.

The Interaction of Sea and Rail Transport at the Example of the Port of Aktau

The paper analyzes the cargo turnover of the seaports of the Caspian basin, examines the main seaports of the Republic of Kazakhstan, assesses the features of their port facilities, and their importance for the country’s transport potential. The study also comprises the analysis of the indicators of the transshipment of cargo in the seaport of Aktau, of its railway and maritime infrastructure, the SWOT analysis of the railways at the approaches to the port. The port’s strengths and weaknesses, as well as key forms of interaction between rail and sea transport and their sphere of effective use have been identified.It is shown that the technical capacity of the port and port rail facilities plays a considerable role in ensuring the further growth of cargo turnover of Kazakhstan’s ports. Main tasks of the optimal interaction of rail and sea transport at the port transport hub are formulated. It is concluded that it is necessary to develop a model for the rational interaction between the port facilities and railways in order to increase their capacity, reduce the downtime of wagons and locomotives at stations and berths, as well as to reduce the cost of rail transportation within the port.

Situation analysis and prospects of trade in Kharkiv region

The goal of this article is the analysis of modern condition and trend of development, definition of the regional features and the main problems of the domestic trade of Kharkiv region. The modern condition and the problems of the development of the trade industry in Kharkiv region on the basis of the definition of the trends and the main indicators of the development of the retail trade have been discovered in this paper. The regional structure of the retail trading circulation of the manufactures of the retail for the period of the 2010 – 2018 pp., product structure of retail of the trading enterprises in the cutaway trade by the goods of the food and non-food groups, the depending of the main social-economic indicators from the change of the index of physical volume of retail turnover of the enterprise after the product groups have been analyzed in this article. On the basis of the results of analysis it was found that the growth in retail turnover is slower than the increase of the real income of the population, as a result of the falling of purchasing power. It was approved on the regional market the new formats of enterprises of a modern type such as hypermarkets, supermarkets, shopping centers, shops near the house, takes place the rapid development of the Internet trade, that provides higher quality of the service. All this gives the place of the deletion from the consumer market such shopping format as kiosks and pavilions, and the markets transform into the shopping service centers. Trends of the development of the retail allowed to summarize the main problems, that slow down it’s functioning and market development of Kharkiv region and the propositions to overcome it have been formulated. To solve the identified problems, the main directions of improvement of retail trade of the region are defined: forming a consumer offer, affordable pricing and quality assurance of goods, taking into account the purchasing power of consumers; introduction of the latest information technologies and telecommunication networks to provide quality and comprehensive services to the population; improving the location of retail outlets to avoid spontaneous trading and eliminating the imbalance of trade network development in individual areas, both in the city and in the region as a whole.

Pendapat Pemilik Usaha-Usaha Kuliner Di Jakarta Terhadap Peran Go-Food Dalam Pengembangan Usahanya

The rapid change of technology has a massive impact in all kinds of culinary business in Jakarta. This research will describe opinions from culinary businesses in Jakarta regarding the existence of Go-Food as a tool to develop their business. What role does Go-Food play as a tool for their business strategy, the changes they experience after they cooperate the business with Go-Food, and what are their opinions about the best strategy for their cooperation to achieve maximum benefits for every party. This research is using a qualitative descriptive method. The results of this research shows that Go-Food does not bring many influences for well established businesses that had been around for many years, on the contrary in new businesses Go-Food bring a massive impact. Some changes are positive and some are negative. The positive sides are growth of profit and turnover, expanding product delivery range, brand awareness and brand exposure. The negative side is the increases of product price appeared in Go-Food application. At the end of this research every party agree that Go-Food has given a good service for its customers and all culinary businesses whom Go-Food has collaborated with.

PERBEDAAN FINANCIAL PERFORMANCE PASCA SECONDARY OFFERINGS

This study aims to examine the differences in corporate financial performance before and after secondary offerings. The financial performance is proxied by WCR, DER, Solvency, ROA, ROE, Asset Turnover (ATO) and Growth ratio which representing the value of liquidity, financing, activity, performance and growth of the firm. The study involved 67 samples of the companies listed on the Indonesia Stock Exchange conducting secondary offerings during 2008-2013 period and selected through purposive random sampling method and using Financial Statement data from 2005-2016 period. Hypothesis test is performed using Wilcoxon Signed Rank test. The results of this study indicate that there is no significant difference in the ratio of Solvency, ROA and ROE between before and after secondary offerings, but there are significant differences in the ratio of WCR, DER, Asset Turnover and Growth. WCR ratio after secondary offerings increased, while DER ratio after secondary offerings decreased, the condition of both ratios showed better performance. While the indication of poor performance seen in decreasing asset turnover ratio and growth ratio.Keywords : agency theory, financial performance, secondary offerings

PERBEDAAN FINANCIAL PERFORMANCE PASCA SECONDARY OFFERINGS

This study aims to examine the differences in corporate financial performance before and after secondary offerings. The financial performance is proxied by WCR, DER, Solvency, ROA, ROE, Asset Turnover (ATO) and Growth ratio which representing the value of liquidity, financing, activity, performance and growth of the firm. The study involved 67 samples of the companies listed on the Indonesia Stock Exchange conducting secondary offerings during 2008-2013 period and selected through purposive random sampling method and using Financial Statement data from 2005-2016 period. Hypothesis test is performed using Wilcoxon Signed Rank test. The results of this study indicate that there is no significant difference in the ratio of Solvency, ROA and ROE between before and after secondary offerings, but there are significant differences in the ratio of WCR, DER, Asset Turnover and Growth. WCR ratio after secondary offerings increased, while DER ratio after secondary offerings decreased, the condition of both ratios showed better performance. While the indication of poor performance seen in decreasing asset turnover ratio and growth ratio.Keywords : agency theory, financial performance, secondary offerings

Bidding against the odds? The impact evaluation of grants for young micro and small firms during the recession

Impact evaluations of business development grants targeting young firms have been somewhat neglected in the literature. While most research studies focus on the impact of research and development grants, a larger percentage of young firms would benefit from grants that assist them in business development activities. In this paper, we examine the impact of small business development grants on young small firm survival, turnover growth, labor growth, and access to external finances. We study this topic in the context of a long recession in Croatia (2009 to 2014), which makes it possible to better observe the effect of the public instrument intervention. Results show positive effect on firm survival and on obtaining long-term bank loans and no significant effects on firm performance. The grant scheme was most successful for firms newest to the market.

Exploring the Role and Importance of Human Capital in Resilient High Performing Organisations: Evidence from Business Clusters

This paper investigates and explores the link between the resilience of organisations, its human capital and firm performance. We base our analysis on the resource‐based view of the firm, cluster strategy, and conservation of resources theories. Our contribution is contextualised by comparing the performance of business clusters across two observational periods, namely pre‐recession (2005–2007) and recession (2008–2009) period. We identify six relevant indicators from the extant literature that capture economic dynamism, human capital, and financial viability of firms in order to capture the performance across clusters and capture resilience to the global financial crisis. We contribute by identifying organisations in business clusters that perform better due to being more resilient, particularly during challenging times. Through triangulation we find overwhelming evidence of the overarching role and importance of human capital (people) in driving more successful organisations in business clusters as they possess greater resilience during challenging times such as the recent global financial crises. We show that strong clusters not only improve regional employment and turnover growth over time, but improve resilience of regional economies to downturns through resource gain and crossover processes. We further illustrate that understanding the impact of resource reservoirs, resource passageways and crossover provides a framework for further research and intervention to promote resilience in organisations.

E-СOMMERCE IN RUSSIA: STATUS AND PROSPECTS

Features and prospects of the Russian market of retail electronic trade in physical goods have been considered. It has been established, that over the next few years the following factors will affect the growth of online trade turnover: the development of cross-border exports; the convergence of offline and online trade; the expansion of the range of products (mainly through products and delivery of ready meals); deeper personalization of offers for the purchase of goods, combined with previously purchased things; the development of mobile retail.

Employment and Performance Effects of Circular Economy Innovations

Circular economy (CE) describes an economic concept that aims at saving resources by minimizing the use of material and energy over the entire life-cycle or products, including repair, reuse and recycling. CE innovations help to realize the goals of a sustainable development and target both the environmental, economic and social dimensions of sustainability. This paper looks at the economic and social dimensions by investigating the performance and employment effects of CE innovations at the firm level. CE innovations such as the reduction of energy and material consumption or the recycling of waste, water or material may lead to cost savings which in turn can increase the competitiveness of the firm and raise demand for a firm's products. Our econometric analysis uses data of two waves of the German part of the Community Innovation Survey (CIS). The performance effects of CE innovations measured by the financial standing of a firm and by turnover growth tend to be positive. The results of quantile regressions show that this is also the case for employment effects.

Methodology for calculating financial result for the owner of the infrastructure from increasing carrying capacity of the direction during operation in cars with increased capacity

In accordance with the draft Long-Term Development Program of the JSC “Russian Railways” until 2025, the main driver of growth in freight turnover in this perspective will be a further increase in the transportation of hard coal. It will occur both due to the growth of coal production in Kuzbass and due to the development of new coal deposits. For the period up to 2025, the increase in coal loading by 4 – 5 % per year is predicted on rail transport. Under these conditions, it becomes necessary to increase the capacity of the transport complex, especially the carrying and transport capacities of the Eastern Operation Area.The article presents the methodology for calculating economic effect of increasing the carrying capacity of the site during operation in cars with increased axle load. The scope of this methodology is specific areas (sections), taking into account their technical, operational and economic parameters.Variant calculations were made, the results of which showed that an increase in the carrying capacity of a section with an increase in the mass of a train formed from cars with increased axle loads does not always give a significant positive effect in terms of value for the infrastructure owner. Positive effect of the increase in carrying capacity in the form of additional profits from the additionally used traffic volume in the evaluated variant can be taken into account in the following cases:- operation of large-capacity cars on freight-intensive sections where there is a lack of carrying capacity in the billing period, i. e. the carrying capacity of the section is less than its required value;- exceeding the freight charge for the additional volume of freight carriage incurred transportation costs, i. e. if the tariff compensates for at least the dependent part of the cost of additional volume transportation.Positive economic effect of the increase in carrying capacity in the form of increased money flow is achieved if the profit from the additional traffic volume in the direction exceeds the additional costs associated with changing the technology for servicing the traction arms while promoting high-weight trains formed from cars with increased axle loads. In other words, if there is no increase in the value of the indicator of mileage (in section-km) per unit of transport work, and the unit cost of maintaining one section with a new technology for servicing traction arms.

GOVERNMENT COMMERCIALIZATION GRANTS AND BUSINESS PERFORMANCE

Australian government offered a number of commercialization grants to businesses from 2009 to 2014. The grants were to support companies and innovators during the commercialization phase of their products and ideas. Focussing on the small firms that are supported by the program, we find that the grant recipient firms tend to invest in capital and research and development (R&D) in larger amounts than a similar comparison group. These firms also experience a faster growth in turnover and a higher probability of exporting, patenting and registering for trademarks. Overall, the program seems to have had a positive impact on firm productivity and innovation activity.

Knowledge to money: Assessing the business performance effects of publicly-funded R&D grants

UK Research Councils (UKRCs) spend around £3bn pa supporting R&D and innovation. We provide a comprehensive assessment of these grants on the performance of participating UK firms, using data on all projects funded by UKRCs over the 2004–2016 period and applying a propensity score matching approach. We exploit the richness of the data available in the Gateway to Research database by investigating the heterogeneous effect of these projects across several novel directions which have not been explored before. We find a positive effect on the employment and turnover growth of participating firms, both in the short and in the medium term. Exploring impacts across different types of firms we find stronger performance impacts for firms in R&D intensive industries and for smaller and less productive firms. We also consider how impacts vary depending on the characteristics of the funded research projects in terms of partners characteristics, receipt of other research grants and grant value. Finally, we focus on the different sources of grants, analysing in particular the evolution in the funding strategy of Innovate UK. Our results have implications for the extent and targeting of future Research Council funding both in the UK and elsewhere.

Do Companies Benefit from Public Research Organizations? The Impact of the Fraunhofer Society in Germany

Among available policy levers to boost innovation, investment in applied research organisations has received little empirical attention. In this paper, we analyse the case of the Fraunhofer Society, the largest public applied research organization in Germany. We analyse whether project interaction with Fraunhofer affects the performance and strategic orientation of firms. To that end, we assemble a unique dataset based on the confidential Fraunhofer-internal project management system and merge it with the German contribution to the Community Innovation Survey (CIS), which contains panel information on firm performance. Using instrumental variables that exploit the scale heteroscedasticity of the independent variable (Lewbel, 2012), we identify the causal effects of Fraunhofer interactions on firm performance and strategies. We find a strong, positive effect of project interaction on growth in turnover and productivity. In particular, we find that a one percent increase in the size of the contracts with FhG leads to an increase in growth rate of sales by 1.3 percentage points, and to an increase in the growth rate of productivity by 0.8 percentage points in the short-run. We also provide evidence of considerable long-run effects accumulating to 18% growth in sales and 12% growth in productivity over the course of 15 years. More detailed analyses reveal, amongst others, that the performance effects become stronger the more often firms interact with Fraunhofer and that interactions aiming at generation of technology have a stronger effect than interactions aiming merely at the implementation of existing technologies. Finally, we provide evidence on the macroeconomic productivity effects of Fraunhofer interactions on the German economy. Our results indicate that doubling Fraunhofer revenues from industry (+€ 0.68 bn.) would increase overall productivity in the German economy by 0.55%.

TOMATO HYBRIDS ON A LOW-VOLUME SUBSTRATE OF TRANSITIONAL TURNOVER IN DAGHESTAN'S INDUSTRIAL GREENHOUSES

The area of greenhouses in Dagestan currently exceeds 220 hectares, most of which were built over the past 5 years and are high-tech facilities. The aim of our research was to identify highly productive tomato hybrids for growing in winter green-houses and to study the characteristics of their growth and development in transitional turnover; determination of the optimal time for sowing seeds and planting tomato seedlings for transitional turnover; determination of the level of accumulation of nitrates in the fruits of tomato, depending on the varietal characteristics and growing conditions. Experimental work was carried out in the greenhouse farm LLC Agro-AS, located in the Novolaksky district, p. Novokuli (Novostroy) is a suburb of Makhachkala. It has been established that when growing a tomato under conditions of a transitional culture under specific light conditions, the most expedient are the dates: sowing seeds in the first half of August, planting plants in the green-house in the first and second decade of September. Growing tomato plants during this period allows the plants to enter into the fruiting phase earlier and thereby form a larger number of fruits of greater mass as compared with the later sowing and planting dates. The highest yields were distinguished hybrids: Tomimaru Mucho F 1 , Kyoto F 1 (19.0 and 18.1 kg / m 2 ). The profitability of the production of hybrids was 70-100%.

Effects of Influence of Economic and Technological Development of IT Segments on Digital Transformation of Retail Trade

This paper presents the results of measuring cross-sectoral economic and technological effects, allowing to determine the degree of dependence between the segments that produce digital technologies and implement them. The basis for empirical calculations was the survey data of leaders among Russian IT companies and retail organizations on the current state of digital and business activity. The purpose of the work is to identify the presence and establish the strength of the relationship between these segments in terms of existing localized industry effects, expressed in the transfer of technology from the IT segments to retail. The authors of the work identified and tested several specific hypotheses, the general meaning of which was to suggest that retail trade in the current stage of economic development in Russia is susceptible to emerging trends in the rapidly changing IT services sector that can quickly and efficiently respond to the growth of the IT companies digital activity by increasing investments in digital technologies and increasing the intensity of their application in business processes. In particular, hypotheses were tested regarding the impact of business activity in the IT services segments on the growth of electronic commerce turnover, the use of online marketplaces, Big data technologies, virtual and augmented reality technologies in retail trade organizations, as well as hypotheses suggesting a connection between the development of mobile applications in the IT segments and the use of mobile technologies, expectations regarding the growth of electronic goods turnover in retail organizations. The obtained results confirmed the majority of the hypotheses put forward, thereby supporting the authors' general assumption about the existence of specific effects of the development of the IT segments on intersectoral technological transfers, revealed the existing specifics of penetration and spread of modern technological trends in trade, and also showed that the IT is currently important component in the process of digital transformation of Russian retail trade organizations.

A Study on the Effect of Job Performance on Emotional Labor, Career Turnover Intention, Job Stress, Growth Need

This study analyzed the effects of emotional labor, career turnover intention, and job stress on job performance health workers in the social welfare. Growth need was used as a parameter. A two-dimensional analysis of the characteristics of individuals and facility types was performed. The results of the analysis are as follows. First, there was a difference between personal characteristics, type of facility, emotional labor, career turnover intention, job stress, growth need, and job performance. Second, the results of the potential average analysis of the group health workers in the social welfare (gender, public organization, and private organization) were not statistically significant. In the type of facility, public organization has higher emotional labor and job stress than private organization. The effect size was medium. There was a difference between public and private organizations. Third, a significant gender path was found in the invariance constraint. A path of career turnover intention → growth need was found statistically significant. Fourth, in the invariance constraint, two statistically significant paths were found in the facility type. One, a path of emotional labor → job performance was found. Two, a path of growth need → organizational performance was found. Fifth, there was no statistically significant path in the path of independent variable (Emotional labor, Career turnover Intention, Job stress) → growth need → job performance.