Ratio Working Paper No. 206: The Relationship Between Innovation and New Firm Growth.

PublikationWorking paper
Alexander McKelvie, Anna Brattström, Företagandets villkor, Företagstillväxt, Forskning, Innovation, Karl Wennberg, Nya företag
Ratio Working Paper No. 206
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This paper seeks to untangle the relationship between new firm’s innovative activities and subsequent growth. We theorize about the inter-related roles of managerial growth willingness, inputs and outputs of innovative activities, and their subsequent link to sales growth. Investigating a longitudinal sample of 282 new Swedish firms reveals a complex set of mediating relationships that, when combined, help explain how innovation affects growth. First, we find growth willingness has an important relationship with innovative inputs such as R&D and market knowledge competence. Second, these inputs affect important innovative outputs such as new product development and the percentage of sales from new products. Third, these outputs directly affect growth – whereas the innovative inputs such as R&D do not have a direct impact. Taken together, our paper highlights the joint importance of managerial attitudes and strategic choices that help to shed new light on the effect of innovation on new firm growth. Implications for research and public policy are discussed.

Brattsröm, A., McKelvie, A. & Wennberg, K. (2013). ”The Relationship Between Innovation and New Firm Growth”. Ratio Working Paper No. 206.

Liknande innehåll

Crises, Covid-19, and Entrepreneurship
Artikel (med peer review)Publikation
Batjargal, B., Jack, S., Mickiewicz, T., Stam, E., Stam, W., & Wennberg, K.


Publicerat i

Entrepreneurship Theory and Practice.


This virtual special issue includes research on the effects of crises, in particular the COVID-19 pandemic, on entrepreneurship, and entrepreneurial responses to deal with consequences of crises. This issue highlights how crises affect entrepreneurs’ well-being and reinforce the importance of agency of entrepreneurs and other citizens. The special issue also highlights the need for resilience; the ability of entrepreneurs, organizations, and economies to absorb and adapt to shocks; and how it can be strengthened. We discuss the importance of data in times of crisis and the greater need for engaged scholarship.

The article can be accessed here.

Evaluating Evaluations of Innovation Policy: Exploring Reliability, Methods, and Conflicts of Interest
Collin, E., Sandström, C., & Wennberg, K.


Publicerat i

Questioning the Entrepreneurial State, 157.


Expansions of innovation policies have been paralleled with an increase in the evaluations of such policies. Yet, there are few systematic evaluations of how such evaluations are conducted, by whom, and their overall conclusions. We analyze 110 evaluations of innovation policy in Sweden from 2005 to 2019. Our findings show that the majority of these evaluations are positive, about one-third are neutral in their conclusions, and very few are negative. The majority of evaluations were conducted by consulting firms, close to one-third by expert government agencies, and around 10% by university researchers or as self-evaluations by the governmental agencies responsible for the policy themselves. Few evaluations employed causal methods to assess the potential effects of policies. We discuss conflicts of interest and question the reliability of evaluations of innovation policy.

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