The Impact of External Knowledge on Innovation Performance. Evidence from Hungary

The paper explores the relationship between firms’ external knowledge sourcing decisions and innovation performance. In our analysis, we consider the impact of knowledge from sources as market players, scientific institutions and open sources on the introduction of product, process, organisational, marketing and logistic innovations. The analysis is based on a sample of 300 manufacturing and service firms. The micro data have been derived from the “In Global Competition 2013” survey, which was organised by Competitiveness Research Centre at Corvinus University of Budapest. The questioner covered almost the entire aspects of firms’ operations, management and marketing practices. For this paper, we used innovation-related questions that are similar to the questions of the Community Innovation Surveys (CIS). Our research model was tested by structural equation modelling (SEM), using AMOS 22 software. We have found that especially export oriented firms used external sources. Firm size and foreign ownership did not make any difference in this respect. Suppliers were the most important knowledge sources of product and marketing innovations. Ideas were gained especially from competitors for logistic innovations. Universities and research institutions played significant role in the firms’ marketing efforts especially in introducing new methods of product placement and sales channels. Conferences and scientific publications provided useful information for organizational innovations.