Skip to main content

Do locational spillovers pay? empirical evidence from German IPO data

Buy Article:

$55.00 plus tax (Refund Policy)


This study examines the impact that locational spillovers have on firm performance. On the basis of a uniquely created data set consisting of high-technology start-ups publicly listed in Germany, this paper tests the proposition of locational spillovers positively affecting firm performance, as measured by abnormally high profits on the stock market. The results provide evidence that geographic proximity and university spillovers are complementary determinants of firm performance. Although neither geographic proximity nor academic research spillovers alone can explain firm performance, a combination of both factors results in significant higher stock market performance. The results also show that academic spillovers are heterogeneous in their impact, depending on the type. In particular, spillovers from social sciences have a different impact on firm performance than do spillovers from natural sciences.

Keywords: Firm performance; University spillover; University–firm collaboration

Document Type: Research Article


Affiliations: 1: Indiana University Bloomington, Indiana, USA 2: Department Entrepreneurship, Growth and Public Policy, Max-Planck Institute for Research into Economic Systems, Jena, Kahlaische Strasse 10, 07745, Jena, Germany

Publication date: 2006-01-01

More about this publication?
  • Access Key
  • Free content
  • Partial Free content
  • New content
  • Open access content
  • Partial Open access content
  • Subscribed content
  • Partial Subscribed content
  • Free trial content
Cookie Policy
Cookie Policy
Ingenta Connect website makes use of cookies so as to keep track of data that you have filled in. I am Happy with this Find out more