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Innovation in Linked and Non-linked Firms: Effects of Variety of Linkages in East Asia

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Author Info

  • Tomohiro MACHIKITA

    (Inter-disciplinary Studies Center, Japan External Trade Organization)

  • Yasushi UEKI

    (Bangkok Research Centre- Japan External Trade Organization, Thailand)

Abstract

This paper proposes a new mechanism linking innovation and networks in developing economies to detect explicit production and information linkages. It investigates the testable implications of these linkages using survey data gathered from manufacturing firms in Indonesia, Thailand, the Philippines, and Vietnam. In-house R&D activities, internal resources, and linkages with local and foreign firms play a role in reducing the costs of product-and process innovation, and the search costs of finding new suppliers and customers. We found that firms with more variety of information linkages achieve more types of innovation. Complementarities between internal and external sources of knowledge are also found.

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File URL: http://www.eria.org/ERIA-DP-2010-03%20MU_Link%20Non%20Link.pdf
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Bibliographic Info

Paper provided by Economic Research Institute for ASEAN and East Asia (ERIA) in its series Working Papers with number DP-2010-03.

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Length: 25 pages.
Date of creation: 01 Feb 2010
Date of revision:
Handle: RePEc:era:wpaper:dp-2010-03

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  1. Foster, Andrew D & Rosenzweig, Mark R, 1995. "Learning by Doing and Learning from Others: Human Capital and Technical Change in Agriculture," Journal of Political Economy, University of Chicago Press, vol. 103(6), pages 1176-1209, December.
  2. Rajah Rasiah, 2009. "Institutions and Public-Private Partnerships: Learning and Innovation in Electronics Firms in Penang, Johor and Batam-Karawang," Institutions and Economies (formerly known as International Journal of Institutions and Economies), Faculty of Economics and Administration, University of Malaya, vol. 1(2), pages 206-233, October.
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Cited by:
  1. OUM Sothea & Narjoko Dionisius & Charles HARVIE, 2014. "Constraints, Determinants of SME Innovation, and the Role of Government Support," Working Papers DP-2014-10, Economic Research Institute for ASEAN and East Asia (ERIA).
  2. Hayakawa, Kazunobu & Tanaka, Kiyoyasu & Ueki, Yasushi, 2011. "Transport modal choice by multinational firms : firm-level evidence from Southeast Asia," IDE Discussion Papers 318, Institute of Developing Economies, Japan External Trade Organization(JETRO).
  3. Tomohiro MACHIKITA & Yasushi UEKI, 2011. "Impacts of Incoming Knowledge on Product Innovation: Technology Transfer in Auto-related Industries in Developing Economies," Working Papers DP-2011-08, Economic Research Institute for ASEAN and East Asia (ERIA).
  4. Tomohiro Machikita & Yasushi Ueki, 2011. "The Impact of Face-to-face and Frequent Interactions on Innovation: Evidence from Upstream-Downstream Relations," Institutions and Economies (formerly known as International Journal of Institutions and Economies), Faculty of Economics and Administration, University of Malaya, vol. 3(3), pages 519-548, October.
  5. Fukunari Kimura & Ayako Obashi, 2011. "Production Networks in East Asia : What We Know So Far," Microeconomics Working Papers 23216, East Asian Bureau of Economic Research.
  6. Tomohiro Machikita & Yasushi Ueki, 2011. "Interactive Learning-driven Innovation in Upstream-Downstream Relations: Evidence from Mutual Exchanges of Engineers in Developing Economies," Working Papers DP-2011-10, Economic Research Institute for ASEAN and East Asia (ERIA).
  7. Tomohiro MACHIKITA & Masatsugu TSUJI & Yasushi UEKI, 2010. "How ICTs Raise Manufacturing Performance: Firm-level Evidence in Southeast Asia," Working Papers DP-2010-07, Economic Research Institute for ASEAN and East Asia (ERIA).
  8. Machikita, Tomohiro & Ueki, Yasushi, 2012. "Impact of Production Linkages on Industrial Upgrading in ASEAN, the People’s Republic of China, and India: Organizational Evidence of a Global Supply Chain," ADBI Working Papers 399, Asian Development Bank Institute.
  9. Tomohiro MACHIKITA & Yasushi UEKI, 2013. "Who Disseminates Technology to Whom, How, and Why: Evidence from Buyer-Seller Business Networks," Working Papers DP-2013-26, Economic Research Institute for ASEAN and East Asia (ERIA).
  10. Cassey LEE, 2012. "Knowledge Flows, Organization and Innovation: Firm-Level Evidence from Malaysia," Working Papers DP-2012-11, Economic Research Institute for ASEAN and East Asia (ERIA).

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