R&D collaboration facilitates pooling of complementary skills, learning from the partner as well as sharing risks and costs. Research therefore repeatedly stressed the positive relationship between collaborative R&D and innovation performance. Collaboration, however, involves transaction costs...

This paper examines the relationship between the psychic distance of decision makers in SMEs from specific foreign markets and their interest in cooperation with companies from those countries. Based on a review of the literature and a qualitative empirical study among entrepreneurs in the...