Wealth effect of technological innovations on supply chains: An event study

The study conducted by the authors analyzed economic parameters related to the supply chain, in other words, test the wealth impact of the foundry that announce technology innovations (TI). And further, two key topics are including: the first one is the immediate impact of TI on the foundry¿s return on stock price, and the second one is its subsequent impacts on its partners on the supply chain. The results indicate that the immediate impacts of TI on foundry¿s return on stock price. As well as, on average, announcements of technology innovation are associated with positive excess returns. And the economic worth impacts had a relatively short time interval which is from (-10; 10) to (-2; 2) due to the technology transience over the industry.