Working Paper: CEPR ID: DP5335
Authors: David B. Audretsch; Erik E. Lehmann
Abstract: The resource theory of the firm implies that knowledge is a key resource bestowing a competitive advantage for entrepreneurial firms. However, it remains rather unclear up to now, how new ventures and small business can access knowledge resources. The purpose of this paper is to suggest two strategies in particular that facilitate entrepreneurial access to and absorption of external knowledge spillovers: the attraction of managers and directors with an academic background. Based on data on board composition of 295 high technology firms, the results clearly demonstrate the strong link between geographical proximity to research intense universities and board composition.
Keywords: board composition; corporate governance; entrepreneurship; university spillover
JEL Codes: No JEL codes provided
Edges that are evidenced by causal inference methods are in orange, and the rest are in light blue.
| Cause | Effect |
|---|---|
| geographic proximity to research-intensive universities (I23) | board composition (G34) |
| board composition (G34) | capacity to absorb external knowledge (O36) |
| geographic proximity to research-intensive universities (I23) | capacity to absorb external knowledge (O36) |
| board composition (G34) | competitive advantage (L21) |
| capacity to absorb external knowledge (O36) | competitive advantage (L21) |
| geographic proximity to research-intensive universities (I23) | board members with higher academic qualifications (G34) |
| board members with higher academic qualifications (G34) | access and absorb knowledge (O36) |
| managers' academic qualifications (M54) | capacity to transform knowledge into competitive advantage (O36) |