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Impact of the Adoption of Advanced Information and Communication Technologies on Firm Performance in the Canadian Manufacturing Sector

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  • John R. Baldwin
  • David Sabourin

Abstract

This paper investigates the evolution of the industrial structure in the Canadian manufacturing sector and its relationship to technological change by examining the take-up of advanced technologies and how it is related to the stochastic growth process in the plant population. Its framework is grounded in the view that growth is a stochastic process that involves learning. Experimentation with new technologies rewards some firms with superior growth and profitability. Examining how growth is associated with the choice of different technology strategies indicates which of these is being rewarded.The evolution of this process is studied by examining the relationship between the uptake of advanced technologies and the performance of plants in the manufacturing sector. This is done by using crosssectional data on advanced technology use and by combining it with longitudinal panel data on plant performance. In particular, the paper examines the relationship between the use of information ... Impact de l'adoption des techniques de l'information et des communications sur la performance des entreprises dans le secteur manufacturier au Canada Le présent document s’intéresse à l’évolution de la structure industrielle du secteur manufacturier au Canada de même qu’à son lien avec le changement technologique en examinant l’adoption de technologies de pointe et son rapport avec le processus de croissance stochastique dans la population des usines. Il s’articule autour du point de vue selon lequel la croissance est un processus stochastique dans lequel intervient l’apprentissage. L’expérimentation des nouvelles technologies récompense certaines enterprises à croissance et à rentabilité supérieures. Pour savoir lesquelles, on y examine le rapport entre la croissance et le choix de différentes stratégies technologiques.Le document étudie l’évolution de ce processus en sondant la relation entre l’adoption de nouvelles technologies et la performance des usines dans le secteur manufacturier; cela se fait par la combinaison de données transversales sur les technologies de pointe à des données de panel longitudinales sur la ...

Suggested Citation

  • John R. Baldwin & David Sabourin, 2002. "Impact of the Adoption of Advanced Information and Communication Technologies on Firm Performance in the Canadian Manufacturing Sector," OECD Science, Technology and Industry Working Papers 2002/1, OECD Publishing.
  • Handle: RePEc:oec:stiaaa:2002/1-en
    DOI: 10.1787/027538012864
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    Cited by:

    1. Fındık, Derya & Tansel, Aysit, 2013. "Resources on the stage: a firm level analysis of the ict adoption in Turkey," MPRA Paper 65956, University Library of Munich, Germany, revised 05 Aug 2014.
    2. Baldwin, John R. Gu, Wulong, 2005. "Global Links: Multinationals, Foreign Ownership and Productivity Growth in Canadian Manufacturing," The Canadian Economy in Transition 2005009e, Statistics Canada, Economic Analysis Division.
    3. Beckstead, Desmond Gellatly, Guy, 2004. "Are Knowledge Workers Found Only in High-technology Industries?," The Canadian Economy in Transition 2004005e, Statistics Canada, Economic Analysis Division.
    4. Baldwin, John R. Gellatly, Guy, 2007. "Innovation Capabilities: Technology Use, Productivity Growth and Business Performance: Evidence from Canadian Technology Surveys," The Canadian Economy in Transition 2007016e, Statistics Canada, Economic Analysis Division.
    5. Sang Nguyen & B.K. Atrostic, 2005. "Computer Investment, Computer Networks and Productivity," Working Papers 05-01, Center for Economic Studies, U.S. Census Bureau.
    6. Baldwin, John R. Beckstead, Desmond Brown, W. Mark, 2003. "Hollowing-out, Trimming-down or Scaling-up? An Analysis of Head Offices in Canada, 1999 to 2002," Economic Analysis (EA) Research Paper Series 2003019e, Statistics Canada, Analytical Studies Branch.
    7. Julie Turcotte & Lori Whewell Rennison, 2004. "The Link between Technology Use, Human Capital, Productivity and Wages: Firm-level Evidence," International Productivity Monitor, Centre for the Study of Living Standards, vol. 9, pages 25-36, Fall.
    8. Fındık, Derya & Tansel, Aysit, 2013. "Resources on the stage: a firm level analysis of the ict adoption in Turkey," MPRA Paper 65956, University Library of Munich, Germany, revised 05 Aug 2014.

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