Absorptive capacity and the reach of collaboration in high technology small firms

Abstract

The current paper is concerned with exploring the role of absorptive capacity in extending the reach of innovation-related collaboration in high technology small firms. Drawing on survey data from a sample of 316 Dutch high-tech small firms, engaged in 1245 collaborations, we explore the relationship between R&D expenditure and distance to collaboration partners. In general terms, we find most partners to be ‘local’. However, controlling for a variety of potential influences, higher R&D expenditure is positively related to collaboration with more distant organizations. The implications of our results for policy, practice and future research are discussed.