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Willingness to Pay for Managerial Training: A Case from the Knitwear Industry in Northern Vietnam

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Author Info

  • Aya Suzuki

    (The University of Tokyo)

  • Vu Huang Nam

    (Foreign University, Vietnam)

  • Tetsushi Sonobe

    (National Graduate Institute for Policy Studies)

Abstract

Managerial capital has received attention in recent years as one of the major determinants for enterprise productivity, growth, and longevity. While recent empirical studies make it clear that training intervention can improve the management level, it remains unclear why the managers had not made efforts to obtain these basic knowledge. To test the hypothesis that the reason lies in low valuation for obtaining knowledge, we conduct experimental training programs for the managers of SMEs in a knitwear cluster in rural town in Vietnam. We find that the demand for these trainings was indeed low prior to trainings, but increased greatly with own learning experience, and that those with a higher prior demand tended to benefit more from the training. We also examine the spill-over effects from their peers and find their heterogeneous impacts across the types of trainings conducted.

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Bibliographic Info

Paper provided by National Graduate Institute for Policy Studies in its series GRIPS Discussion Papers with number 13-08.

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Length: 37 pages
Date of creation: May 2013
Date of revision:
Handle: RePEc:ngi:dpaper:13-08

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References

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  1. Dean Karlan & Martin Valdivia, 2007. "Teaching Entrepreneurship: Impact of Business Training on Microfinance Clients and Institutions," Working Papers 107, Center for Global Development.
  2. Yukichi Mano & Alhassan Iddrisu & Yutaka Yoshino & Tetsushi Sonobe, 2011. "How Can Micro and Small Enterprises in Sub-Saharan Africa Become More Productive? The Impacts of Experimental Basic Managerial Training," GRIPS Discussion Papers 11-06, National Graduate Institute for Policy Studies.
  3. Oriana Bandiera & Imran Rasul, 2002. "Social networks and technology adoption in Northern Mozambique," LSE Research Online Documents on Economics 3539, London School of Economics and Political Science, LSE Library.
  4. Bloom, Nicholas & Eifert, Benn & Mahajan, Aprajit & McKenzie, David & Roberts, John, 2010. "Does Management Matter?: Evidence from India," Research Papers 2074, Stanford University, Graduate School of Business.
  5. Sergio Firpo, 2004. "Efficient Semiparametric Estimation of Quantile Treatment Effects," Econometric Society 2004 North American Summer Meetings 605, Econometric Society.
  6. Markus Frolich & Blaise Melly, 2010. "Estimation of quantile treatment effects with Stata," Stata Journal, StataCorp LP, vol. 10(3), pages 423-457, September.
  7. Edward Miguel & Michael Kremer, 2004. "Worms: Identifying Impacts on Education and Health in the Presence of Treatment Externalities," Econometrica, Econometric Society, vol. 72(1), pages 159-217, 01.
  8. Ira Matuschke & Matin Qaim, 2009. "The impact of social networks on hybrid seed adoption in India," Agricultural Economics, International Association of Agricultural Economists, vol. 40(5), pages 493-505, 09.
  9. Vu Hoang Nam & Tetsushi Sonobe & Keijiro Otsuka, 2010. "An Inquiry into the Development Process of Village Industries: The Case of a Knitwear Cluster in Northern Vietnam," Journal of Development Studies, Taylor & Francis Journals, vol. 46(2), pages 312-330.
  10. Alberto Abadie & Joshua Angrist & Guido Imbens, 2002. "Instrumental Variables Estimates of the Effect of Subsidized Training on the Quantiles of Trainee Earnings," Econometrica, Econometric Society, vol. 70(1), pages 91-117, January.
  11. Karen Blumenschein & GlennC. Blomquist & Magnus Johannesson & Nancy Horn & Patricia Freeman, 2008. "Eliciting Willingness to Pay Without Bias: Evidence from a Field Experiment," Economic Journal, Royal Economic Society, vol. 118(525), pages 114-137, 01.
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Cited by:
  1. Tetsushi Sonobe & Yuki Higuchi & Keijiro Otsuka, 2012. "Productivity Growth and Job Creation in the Development Process of Industrial Clusters," GRIPS Discussion Papers 11-22, National Graduate Institute for Policy Studies.

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