EMPIRICAL EVIDENCE FOR BRAZILIAN FIRMS IN TERMS OF UNIVERSITY–INDUSTRY INTERACTION, PUBLIC FUNDING AND INNOVATION OUTCOME

Abstract

This paper aims to contribute to the discussion about firm’s innovation, focusing at university–industry interactions (UII), funding and innovation outcomes. The research analysed the data of 325 Brazilian firms that interacted with universities and/or research centres. Regression models were used to evaluate the impact of public funding, types of interactions and innovation outcomes. In addition, the moderation effect of public funds was tested in different types of interactions. The results show that the university–industry interactions based on the use of the university’s knowledge has a positive and significant relationship with firm’s product innovation, and the use of public funding has a negative and significant relationship with a firm’s innovation intensity. It is relevant to note that there are important specificities of the Brazilian context, such as the innovation-related public funding and its effectiveness for the firm’s innovative activities, which contributes to explaining the outcomes.