Learning, Product Innovation and Firm Heterogeneity in Tanzania
AbstractUsing a unique firm level data set on learning and product innovation in Tanzanian manufacturing and commercial farming, this paper sheds light on the various sources of firm learning, investment and collaboration and their relative importance for product innovation. The results indicate that larger and foreign owned firms invest significantly more in human and physical capital than do local micro, small and medium sized firms, and they are better connected to the internet. Their ways of upgrading technology also reveals a better financial endowment. Small and medium sized firms on the other hand report to collaborate more intensively with other local firms on product development, marketing and on the input market and upgrade technology through in-house activities, imitation and cooperation with suppliers and universities. By doing so, they are able to offset the scale disadvantages they face in competing for the market information and inputs – new machinery and specialised labour - necessary for product innovation in imperfect markets.
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
Bibliographic InfoPaper provided by United Nations University, Institute for New Technologies in its series Discussion Papers with number 07.
Date of creation: 2005
Date of revision:
Contact details of provider:
Web page: http://www.intech.unu.edu
learning; innovation; technological change; competitiveness; multinational corporations; MNEs; small and medium enterprises; SMEs; investment; Tanzania;
Other versions of this item:
- Goedhuys, Micheline, 2005. "Learning, Product Innovation and Firm Heterogeneity in Tanzania," UNU-INTECH Discussion Paper Series 07, United Nations University - INTECH.
- NEP-ALL-2005-11-12 (All new papers)
- NEP-DEV-2005-11-12 (Development)
- NEP-ENT-2005-11-12 (Entrepreneurship)
- NEP-INO-2005-11-12 (Innovation)
- NEP-MIC-2005-11-12 (Microeconomics)
- NEP-TID-2005-11-12 (Technology & Industrial Dynamics)
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Sleuwaegen, Leo & Goedhuys, Micheline, 2002. "Growth of firms in developing countries, evidence from Cote d'Ivoire," Journal of Development Economics, Elsevier, vol. 68(1), pages 117-135, June.
- Bell, Martin & Albu, Michael, 1999. "Knowledge Systems and Technological Dynamism in Industrial Clusters in Developing Countries," World Development, Elsevier, vol. 27(9), pages 1715-1734, September.
- Malerba, Franco, 1992. "Learning by Firms and Incremental Technical Change," Economic Journal, Royal Economic Society, vol. 102(413), pages 845-59, July.
- Mccormick, Dorothy, 1999. "African Enterprise Clusters and Industrialization: Theory and Reality," World Development, Elsevier, vol. 27(9), pages 1531-1551, September.
- Murphy, James T., 2002. "Networks, Trust, and Innovation in Tanzania's Manufacturing Sector," World Development, Elsevier, vol. 30(4), pages 591-619, April.
- Wignaraja, Ganeshan, 2001.
"Firm Size, Technological Capabilities and Market-Oriented Policies in Mauritius,"
1, United Nations University, Institute for New Technologies.
- Ganeshan Wignaraja, 2002. "Firm Size, Technological Capabilities and Market-oriented Policies in Mauritius," Oxford Development Studies, Taylor & Francis Journals, vol. 30(1), pages 87-104.
- Rajah Rasiah, 2004. "Technological intensities in East and Southeast Asian electronics firms: Does network strength matter?," Oxford Development Studies, Taylor & Francis Journals, vol. 32(3), pages 433-455.
- Thorsten Beck & Asli Demirgüç-Kunt & Vojislav Maksimovic, 2005. "Financial and Legal Constraints to Growth: Does Firm Size Matter?," Journal of Finance, American Finance Association, vol. 60(1), pages 137-177, 02.
- Lynn Mytelka, 2000. "Local Systems Of Innovation In A Globalized World Economy," Industry and Innovation, Taylor & Francis Journals, vol. 7(1), pages 15-32.
- Ann E. Harrison & Margaret S. McMillan, 2001. "Does Direct Foreign Investment Affect Domestic Firms' Credit Constraints?," NBER Working Papers 8438, National Bureau of Economic Research, Inc.
- Nugent, Jeffrey B. & Nabli, Mustapha K., 1992. "Development of financial markets and the size distribution of manufacturing establishments: International comparisons," World Development, Elsevier, vol. 20(10), pages 1489-1499, October.
- Leo Sleuwaegen & Micheline Goedhuys, 2003. "Technical efficiency, market share and profitability of manufacturing firms in C�te d'Ivoire: the technology trap," Cambridge Journal of Economics, Oxford University Press, vol. 27(6), pages 851-866, November.
- Lall, Sanjaya, 1992. "Technological capabilities and industrialization," World Development, Elsevier, vol. 20(2), pages 165-186, February.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Ad Notten).
If references are entirely missing, you can add them using this form.