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| Author: | Dunk, A.S. Kilgore, A. |
| Title: | Short-term R&D bias, competition on cost rather than innovation, and time to market |
| Journal: | Scandinavian Journal of Management
2001 : DEC, VOL. 17:4, p. 409-420 |
| Index terms: | COMPETITION COSTS INNOVATION R&D |
| Language: | eng |
| Abstract: | Mounting evidence indicates that capital markets often apply short-term pressure on firms to gain short-term results by focusing primarily on reported financial performance. As a result of short termism, it has been argued that companies are likely to cut expenditure on R&D which might otherwise improve long-term performance. As there is a growing consensus that R&D is critically important to both organizational and national performance, short termism may have significant detrimental organizational consequences. One implication arising from a short-term R&D bias, and examined in this paper, is its effect on market time reduction. |
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