The impact of firm participation in R&D programmes on R&D partnerships

Isabel Busom*, Andrea Fernández-Ribas

*Corresponding author for this work

Research output: Contribution to journalArticleResearchpeer-review

98 Citations (Scopus)


R&D subsidies designed to encourage innovation efforts by firms may have intended and unintended effects on the way they organize their innovation process. We present empirical evidence on how R&D subsidies affect firms' R&D cooperation strategies. In particular, we investigate whether receiving public R&D subsidies affect the probability that a firm will set up an R&D partnership with a public research organization (PRO), or with other firms. Our main findings are: (i) public support significantly increases the chances that a firm will cooperate with a PRO, and (ii) public support also increases the likelihood that a firm will establish private partnerships, but to a smaller extent and only when firms have intangible knowledge assets. These results suggest that public R&D programmes trigger a behavioural change in firms' R&D partnerships, alleviating barriers to cooperation.

Original languageAmerican English
Pages (from-to)240-257
Number of pages18
JournalResearch Policy
Issue number2
Publication statusPublished - Mar 2008


  • Innovation policy
  • Public-private partnerships
  • R&D
  • Vertical cooperation

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