(Università di Pisa e SDA Bocconi)
This study contributes to the academic debate by analysing the joint effects of R&D intensity on value-creation, business performance, and in terms of systematic risk.The results obtained revealed the existence of a positive and statistically significant relationship between R&D intensity and value. The effect of R&D investment on the firm performance (in terms of ROA) is observed only on long-term performance, while a negative relationship has been detected within the span of a single business year. Furthermore, R&D intensity also increases beta (systematic risk), as also reported by a considerable part of the academic literature.The results may be of interest for the management of businesses to implement R&D projects under the control of the critical variables highlighted to monitor the sustainability of investments and the timing of results. The considerations that emerged from our study could have implications for the design of research-stimulating policies.
The seminar will in presence, DEMS Seminar Room 2104, U7-2nd floor