Too few innovative companies
KfW fears for Germany's competitiveness
Too few ideas and no need seen: According to the latest study by the state-owned development bank KfW, the innovative strength of SMEs in Germany is not doing too well.
According to a study by the Kreditanstalt für Wiederaufbau (KfW), too few SMEs in Germany are investing in innovation. It is true that the number of companies investing in new products or processes has risen recently. However, at 27%, the proportion of innovative companies in the SME sector is a far cry from its peak of 42% in 2004/2006. "This is not good news for the German economy and its international competitiveness - after all, innovations play a major role in employment, returns, turnover and productivity," argues KfW Chief Economist Jörg Zeuner.
According to the figures, the number of innovative small and medium-sized companies rose by a good 200,000 to around one million in 2014/2016 compared to the 2013/2015 period. However, the amount that companies spent on market innovations or the acquisition of inventions and ideas from competitors fell to 32.2 billion euros in 2016 (2015: 36.7 billion euros).
The reason given by the majority (54%) of non-innovative companies for this reluctance was that there was currently no need for innovative products or processes and that they would not bring any benefits. One in five companies (20%) also stated that they lacked ideas. According to KfW, this could be due to a lack of specialist knowledge and a lack of skills among the workforce.
The good business situation of many companies could also reduce the pressure to innovate. In addition, the number of company founders has been falling for some time, according to KfW. According to the information, young companies are often more innovative than older ones.
According to the study, smaller companies with fewer than five employees in particular are increasingly abandoning innovation activities. Around 80% of all SMEs fall into this size category. There are fewer innovative companies among service providers and in the construction industry in particular. KfW defines SMEs as companies in Germany whose annual turnover does not exceed 500 million euros.
You might also be interested in
Job profile of a data scientist
Around a quarter more jobs for data experts
Growing volumes of data are generating new job profiles such as data scientist. The career platform Joblift analyzed around 14 million job advertisements from the last 24 months to find out more about the job profile and the demand for it.
read more...German Patent Office calls for more staff
The German Patent Office cannot keep up with the processing of patent procedures. On average, companies have to wait five years for their patents. The President of the office, Cornelia Rudloff-Schäffer, therefore believes that Germany's innovative...
read more...Digital innovations wanted
The starting signal has been given for the 'Start-up Competition - Digital Innovations' 2018: Creative minds can apply with their ideas from the information and communication technology sector. Computer&AUTOMATION shows ideas for industrial use...
read more...Siemens names 'Inventor of the Year 2017'
Siemens filed 3,650 patents in the 2017 fiscal year - 150 more than in the previous year. The company has now named 14 particularly resourceful researchers as 'Inventors of the Year 2017'.
read more...Labor market and infrastructure
Lack of engineers jeopardizes infrastructure projects worldwide
According to a study, 73% of employers worldwide cannot find enough qualified engineers. Infrastructure, energy and semiconductor projects are particularly affected. In Europe, demographic developments are exacerbating the situation.
read more...Study on AI and the World of Work
Human-Machine Teamwork becomes central
A C-level survey by valantic and the Handelsblatt Research Institute examines how AI will transform the world of work by 2030. Managers expect creativity, empathy and ethical judgment to remain crucial skills in the future.
read more...VDMA demands Compulsory Subject Technology
A short study conducted by the German Economic Institute on behalf of the VDMA Impuls Foundation shows clear differences in technology teaching in Germany. The VDMA is calling for technology to be a compulsory subject from year 5 onwards.
read more...Education and the Labor Market
IBM calls for AI Projects Worldwide
IBM launches a global tender for AI solutions in education and labor market integration. Non-profit organizations and universities can apply until the end of March 2026.
read more...Study on the working world of tomorrow
Merging technical skills and soft skills
AI is profoundly changing jobs, but at the same time it is making human skills indispensable. The new Skills Economy Report 2026 from SkyHive by Cornerstone shows that roles in the future will require both technical skills and soft skills.
read more...