Do Exporting Firms in the People’s Republic of China Innovate?
AbstractThis paper assesses factors driving firm-level export performance in Asia’s super exporter—The People’s Republic of China (PRC). While early studies suggested that innovation was important, there has been little research on opening up the black box of technology at firm-level in the PRC, the author undertakes econometric analysis of innovation, learning, and exporting in automobiles and electronics firms in the PRC using a large-scale dataset to identify the most appropriate innovation proxy. Drawing on recent literature on innovation and learning in developing countries, it tests two alternative proxies: (i) a technology index (TI) to capture a variety of minor activities involved in using imported technologies efficiently; and (ii) the research and development (R&D)-to-sales ratio, which represents formal technological efforts to create new products and processes, often at world frontiers.
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Bibliographic InfoPaper provided by Asian Development Bank Institute in its series ADBI Working Papers with number 365.
Length: 21 pages
Date of creation: 04 Jul 2012
Date of revision:
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More information through EDIRC
prc; innovation; automobiles; electronics;
Find related papers by JEL classification:
- F23 - International Economics - - International Factor Movements and International Business - - - Multinational Firms; International Business
- L63 - Industrial Organization - - Industry Studies: Manufacturing - - - Microelectronics; Computers; Communications Equipment
- O31 - Economic Development, Technological Change, and Growth - - Technological Change; Research and Development; Intellectual Property Rights - - - Innovation and Invention: Processes and Incentives
- O32 - Economic Development, Technological Change, and Growth - - Technological Change; Research and Development; Intellectual Property Rights - - - Management of Technological Innovation and R&D
- O57 - Economic Development, Technological Change, and Growth - - Economywide Country Studies - - - Comparative Studies of Countries
This paper has been announced in the following NEP Reports:
- NEP-ALL-2012-07-14 (All new papers)
- NEP-CSE-2012-07-14 (Economics of Strategic Management)
- NEP-INO-2012-07-14 (Innovation)
- NEP-INT-2012-07-14 (International Trade)
- NEP-SBM-2012-07-14 (Small Business Management)
- NEP-TRA-2012-07-14 (Transition Economics)
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