Innovation and Productivity Across Mexican Manufacturing Firms
| Páginas | 36-52 |
| Fecha | 17 Noviembre 2014 |
| Fecha de publicación | 17 Noviembre 2014 |
| Autor | Flor Brown,Georgina Alenka Guzmán Chávez |
| Materia | Ciencias sociales |
ISSN: 0718-2724. (http://www.jotmi.org)
Journal of Technology Management & Innovation © Universidad Alberto Hurtado, Facultad de Economía y Negocios.
J. Technol. Manag. Innov. 2014, Volume 9, Issue 4
November 2014 Edition / Special Issue
Technical Change and Innovation Policy in Latin America: Lessons learned.
Innovation and Productivity across Mexican Manufacturing Firms
Flor Brown1, Alenka Guzmán2
Abstract
Following the Crépon-Duguet-Mairesse Model (1998), using a datab ase with 2,078 Mexican manufacturing establishments
from 2004 to 20 06, adapting available proxy variables and proposing a different productivity estimation, this ar ticle sets
out: Which is their innovation propensit y? Which factors push on their innovation efforts? Are these effor ts and the
innovation favoring labor productivity? The main ndings are: Mexican manufacturin g establishments with a higher innovation
propensity are th e largest, with high techno logical intensity and market sha re. Advertising, knowledge app ropriability, FDI,
TT and access to credi t have a positive effect on innovation ef forts. Moreover, the innovation effort , together with export
levels, FDI and access to technology have inuenced the innovation of new processes and/or designs, particularly in local
rms as compared to foreign rms. Finally, the variables: innovation, lab our remunerations and c apital inten sity have a
substantial effect on labor productivity and at a lower level market share, FDI and total quality control.
Keywords: technological efforts; innovation; productivity, cdm model; manufacturing industry; mexican firms
1,2 Universidad Nacional Autónoma de México, Av. Universidad No. 3000, Ciudad Universitaria, D. F. 04510, e-mail: brown@unam.mx.
2alenka.uami@gmail.com
36
ISSN: 0718-2724. (http://www.jotmi.org)
Journal of Technology Management & Innovation © Universidad Alberto Hurtado, Facultad de Economía y Negocios.
J. Technol. Mana g. Innov. 2014, Volume 9, Issue 4
Introduction
This research paper has two goals: rst, to study the
determinants of innovation efforts of Mexican manufacturing
establishments from 2004 to 20064 and their impact on the
development of new processes and products; and secondly,
to determine how these efforts and innovation itself are
affecting labor productivity, analyzing the differences among
manufacturing industries.
The relationship between productivity and innovation has
been a central theme of study for economists throughout
various decades (Solow, 1957; Hall, Mairesse and Mohnen,
2010; Hall and Mairesse, 2011). At the level of rms, we
would highlight the pioneer work conducted by Griliches
(1964), who was faced with the difculties of research and
development (R&D) capital specication to calculate the
R&D rms’ contribution to their productivity performance.
Based on methodological-theoretical proposals by Griliches
(1980) and Pakes and Griliches (1984), toward the end of
the 1990s, Crépon, Duguet and Mairesse (CDM) (1998)
suggested a more complex method.The CDM model uses
resource allocations intended for innovation activities
and the outcomes of innovation processes in terms of
productivity.Also, it allows for solving issues arising due to the
presence of a certain relative selectivity toward innovation
expenses, with the possible endogenous aspect of some
independent variables and the qualitative nature presented in
some of them.
CDM methodology has been used widely to analyze
industrialized countries,5 and was recently applied to Latin
American countries.6
4 We only had access to aggregated statistics for establishments for this
time period from three integrated data sources provided by INEGI and for
the purpose of this study.
5 Individual countries have been studied: Sweden (Janz, Lööf and Peters,
2004; Lööf and Heshmati, 2006); Canada (Therrien and Hanel, 2005); the
Netherlands (Van Leeuwen and Klomp, 2006); France (Mairesse and Robin,
2009); Holland (Polder,Van Leeuwen, Mohnen and Raymond, 2010).There
are also comparative case studies that include Belgium, Denmark, Ger-
many, Ireland, Italy, Holland and Norway (Mohnen, Mairesse and Dagenais,
2006); and France, Sweden, Finland, Holland, Denmark and China (Hall and
Mairesse, 2011).
6 Chile,Argentina, Uruguay and Costa Rica (Benavente, 2006;Alvarez, Bra-
vo-Ortega and Navarro,2011; Arza and López,2010; Cassoni and Ramada,
2010; Monge-González and Hewitt, 2010). There is a comparative study
concerning Argentina, Chile, Colombia, Costa Rica, Panama and Uruguay
(Crespi and Zuñiga, 2012). There is also a study that compares European
and Latin American countries, specically Spain, France, Switzerland,Argen-
tina, Brazil and Mexico (Raffo, Lhuillery and Miotti, 2008).
The studies based on CDM models estimate in general
the rst two equations with Heckman`s methodology. But,
unlike most of them that are proposing two independent
equations for the knowledge and the productivity functions,
we estimated these last two equations with a treatment
effect model. In other words, we estimated the productivity
equation including both types of rms:the innovative and the
non innovative, while controlling for selection bias induced
by the treatment assignment.
This research study questions some central matters
related to the CDM model in order to analyze Mexico’s
manufacturing industry: What is the propensity toward
innovation in Mexican manufacturing companies? What is
the determining factor related to the innovation efforts
in manufacturing companies? Do higher innovation efforts
have a stronger labor productivity impact on companies?
Are there differences among the rms in Mexico’s
manufacturing industries?
In this research paper, unlike the study conducted
by Raffo, et al. (2008), the establishments in Mexico’s
manufacturing industry from 2004 to 2006 analysis
incorporate additional variables to the database. Specically,
these variables are patents and trademarks as a proxy
of innovations’ appropriability, and remunerations as a
proxy of human capital.
The research hypothesis states that Mexican companies
with the highest propensity to innovation are the largest,
and those with appropriability of their inventions, export
activities and the largest market share. Nevertheless, when
the time comes for a rm to take action in order to apply an
amount of innovation-related expenditures, the importance
of access to credit, technology transfer (TT), foreign direct
investment, cooperation between companies, exportations
and appropriability of knowledge becomes clear. Such
innovation efforts, combined with exports, the size of
the establishment and foreign direct investment, translate
into new products and/or designs. Finally, innovation as an
input, together with human capital, capital intensity per
worker, foreign direct investment, establishment size and
market share will tend to impact labor productivity in
Mexico’s manufacturing industry. Finally, the assumption
is that industries with the highest technological intensity
will have better conditions within this innovation and
productivity scheme.
This paper is divided into four sections.In the second section
we will specify and develop the CDM model in the case of
Mexican manufacturing rms. In the third section we will
analyze our research results vis a vis other similar studies
that have been conducted in Latin American countries.And
lastly, we will present our main conclusions.
37
Para continuar leyendo
Comienza GratisAccede a todo el contenido con una prueba gratuita de 7 días
Transforma tu investigación jurídica con vLex
-
Accede a resúmenes de sentencias generados por IA, que destacan al instante los aspectos jurídicos clave.
-
Realiza búsquedas avanzadas con opciones precisas de filtrado y ordenamiento.
-
Consulta contenido jurídico completo de más de 100 jurisdicciones, incluyendo una amplia colección de libros y revistas a texto completo.
-
Disfruta de funcionalidades exclusivas como comparador de versiones de una ley, notas de vigencia, análisis de citas, y mucho más.
-
Con la confianza de más de 2 millones de profesionales, incluidas las firmas más importantes del mundo.
Accede a todo el contenido con una prueba gratuita de 7 días
Transforma tu investigación jurídica con vLex
-
Accede a resúmenes de sentencias generados por IA, que destacan al instante los aspectos jurídicos clave.
-
Realiza búsquedas avanzadas con opciones precisas de filtrado y ordenamiento.
-
Consulta contenido jurídico completo de más de 100 jurisdicciones, incluyendo una amplia colección de libros y revistas a texto completo.
-
Disfruta de funcionalidades exclusivas como comparador de versiones de una ley, notas de vigencia, análisis de citas, y mucho más.
-
Con la confianza de más de 2 millones de profesionales, incluidas las firmas más importantes del mundo.
Accede a todo el contenido con una prueba gratuita de 7 días
Transforma tu investigación jurídica con vLex
-
Accede a resúmenes de sentencias generados por IA, que destacan al instante los aspectos jurídicos clave.
-
Realiza búsquedas avanzadas con opciones precisas de filtrado y ordenamiento.
-
Consulta contenido jurídico completo de más de 100 jurisdicciones, incluyendo una amplia colección de libros y revistas a texto completo.
-
Disfruta de funcionalidades exclusivas como comparador de versiones de una ley, notas de vigencia, análisis de citas, y mucho más.
-
Con la confianza de más de 2 millones de profesionales, incluidas las firmas más importantes del mundo.
Accede a todo el contenido con una prueba gratuita de 7 días
Transforma tu investigación jurídica con vLex
-
Accede a resúmenes de sentencias generados por IA, que destacan al instante los aspectos jurídicos clave.
-
Realiza búsquedas avanzadas con opciones precisas de filtrado y ordenamiento.
-
Consulta contenido jurídico completo de más de 100 jurisdicciones, incluyendo una amplia colección de libros y revistas a texto completo.
-
Disfruta de funcionalidades exclusivas como comparador de versiones de una ley, notas de vigencia, análisis de citas, y mucho más.
-
Con la confianza de más de 2 millones de profesionales, incluidas las firmas más importantes del mundo.
Accede a todo el contenido con una prueba gratuita de 7 días
Transforma tu investigación jurídica con vLex
-
Accede a resúmenes de sentencias generados por IA, que destacan al instante los aspectos jurídicos clave.
-
Realiza búsquedas avanzadas con opciones precisas de filtrado y ordenamiento.
-
Consulta contenido jurídico completo de más de 100 jurisdicciones, incluyendo una amplia colección de libros y revistas a texto completo.
-
Disfruta de funcionalidades exclusivas como comparador de versiones de una ley, notas de vigencia, análisis de citas, y mucho más.
-
Con la confianza de más de 2 millones de profesionales, incluidas las firmas más importantes del mundo.
