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Industrial performance of the top R&D enterprises in world-leading economies: A metafrontier approach

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  • Aristovnik, Aleksander
  • Yang, Guo-liang
  • Song, Yao-yao
  • Ravšelj, Dejan

Abstract

Faced with increasingly prominent challenges in developing a knowledge-based economy, many countries have attached great importance to research and development (R&D) activities, particularly in industrial enterprises. Considering the heterogeneity in the development background across countries, this study examines industrial R&D performance from 2016 to 2020 by comparing the productivity of the top R&D enterprises across world-leading economies and industries. The metafrontier approach and the Malmquist productivity index using data envelopment analysis and inferential statistics are employed in an empirical analysis of 1155 enterprises in the European Union (EU), the United States (US), Japan, and China operating in six different industries. The results reveal that R&D productivity has improved over time, particularly in the last year observed. Moreover, the US was the most productive, whereas China exhibited the worst productivity levels. Finally, despite Consumer Goods & Services presenting the best average R&D performance, the highest improvements are observed more recently, especially in Healthcare & Pharmaceuticals and ICT Goods & Services. The results suggest that in addition to technology gaps, the COVID-19 pandemic had important implications for the industrial performance of top R&D enterprises. The findings of this research can guide improvements in R&D efficiency and consequently facilitate evidence-based decision-making in the business sector and policymaking at the national level.

Suggested Citation

  • Aristovnik, Aleksander & Yang, Guo-liang & Song, Yao-yao & Ravšelj, Dejan, 2023. "Industrial performance of the top R&D enterprises in world-leading economies: A metafrontier approach," Socio-Economic Planning Sciences, Elsevier, vol. 89(C).
    • Handle: RePEc:eee:soceps:v:89:y:2023:i:c:s0038012123002100
    DOI: 10.1016/j.seps.2023.101698
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