Abstract:

Firms can succeed in innovation process by using external opportunities, relations and possibilities as well as their own resources. In this study the application-level of factors affecting innovation such as gaining financial support, access to knowledge sources and cooperation was analyzed whether they change with the firm size. In this regard, firm-level data of Turkish Statistical Institute (TurkStat) Innovation Survey 2012 were used. Findings have revealed that innovation success of firms improves along with the number of employees; but there is no significant difference in the proportion of innovative outputs between small and medium-sized firms. Large firms are in a better state regarding both accessing and effective use of opportunities comparing to small and medium-sized firms. On the other hand, level of collaborations and external links also decreases with the size of the firms. The increase in the rate of firms’ utilization of financial resources or innovation subsidies from public institutions/organizations and European Union institutions along with the firm size is among the remarkable results. Keywords: Firm size, Innovation, Collaboration, Knowledge sources.

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