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Determinants of adoption of flexible production technologies: Evidence from portuguese manufacturing industry

  • Ana Faria
  • Paul Fenn
  • Alistair Bruce

This paper investigates the main determinants of adoption of flexible production technologies (FPTs), using a cross-section of Portuguese manufacturing firms. In order to investigate the determinants of adoption by Portuguese firms we estimate a probit model of technology adoption, where rank, location, industry and demand uncertainty effects are considered. The main findings are that: (i) plant heterogeneity is important in understanding differences in the likelihood of adoption; (ii) spillover effects resulting from geographical proximity foster adoption; (iii) differences in technological regimes across industries also play a role in the diffusion process; and (iv) demand uncertainty increases the likelihood of adoption of FPTs.

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File URL: http://www.tandfonline.com/doi/abs/10.1080/10438590214338
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Article provided by Taylor & Francis Journals in its journal Economics of Innovation and New Technology.

Volume (Year): 11 (2002)
Issue (Month): 6 ()
Pages: 569-580

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Handle: RePEc:taf:ecinnt:v:11:y:2002:i:6:p:569-580
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  1. Romeo, Anthony A, 1977. "The Rate of Imitation of a Capital-Embodied Process Innovation," Economica, London School of Economics and Political Science, vol. 44(173), pages 63-69, February.
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  12. Baldwin, John R. & Diverty, Brent, 1995. "Advanced Technology Use in Canadian Manufacturing Establishments," Analytical Studies Branch Research Paper Series 1995085e, Statistics Canada, Analytical Studies Branch.
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