Innovation and productivity: evidence from firms level data on Malaysian manufacturing sector

This study aims to investigate the impact of innovative activities related to productivity among firms in Malaysian manufacturing sector, using cross section data in 2008 with the total number of observations is 7222 firms from 36 manufacturing sub-sectors. The link between R&D, innovation and p...

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Main Authors: Shafi’i, Mazlina, Ismail, Normaz Wana
Format: Article
Language:English
Published: Faculty of Economics and Management, Universiti Putra Malaysia 2015
Online Access:http://psasir.upm.edu.my/id/eprint/38044/1/Innovation%20and%20Productivity.pdf
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author Shafi’i, Mazlina
Ismail, Normaz Wana
author_facet Shafi’i, Mazlina
Ismail, Normaz Wana
author_sort Shafi’i, Mazlina
collection UPM
description This study aims to investigate the impact of innovative activities related to productivity among firms in Malaysian manufacturing sector, using cross section data in 2008 with the total number of observations is 7222 firms from 36 manufacturing sub-sectors. The link between R&D, innovation and productivity has been examined through a complex interaction via the structural model. The results reveal that, exportoriented firms, size of firm, type of industry and market size heavily influence the decision to engage in R&D and at the same time firm allocates some significant amount of expenditure for R&D. The result also support that exporting firms tend to innovate to enhance their product competitiveness globally and patent their products worldwide as a form of protection from imitation. In addition, the innovation activities with the support of quality labor and technology are able to trigger firm’s productivity.
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spelling upm.eprints-380442016-02-02T03:48:32Z http://psasir.upm.edu.my/id/eprint/38044/ Innovation and productivity: evidence from firms level data on Malaysian manufacturing sector Shafi’i, Mazlina Ismail, Normaz Wana This study aims to investigate the impact of innovative activities related to productivity among firms in Malaysian manufacturing sector, using cross section data in 2008 with the total number of observations is 7222 firms from 36 manufacturing sub-sectors. The link between R&D, innovation and productivity has been examined through a complex interaction via the structural model. The results reveal that, exportoriented firms, size of firm, type of industry and market size heavily influence the decision to engage in R&D and at the same time firm allocates some significant amount of expenditure for R&D. The result also support that exporting firms tend to innovate to enhance their product competitiveness globally and patent their products worldwide as a form of protection from imitation. In addition, the innovation activities with the support of quality labor and technology are able to trigger firm’s productivity. Faculty of Economics and Management, Universiti Putra Malaysia 2015-06 Article PeerReviewed application/pdf en http://psasir.upm.edu.my/id/eprint/38044/1/Innovation%20and%20Productivity.pdf Shafi’i, Mazlina and Ismail, Normaz Wana (2015) Innovation and productivity: evidence from firms level data on Malaysian manufacturing sector. International Journal of Economics and Management, 9 (1). pp. 93-114. ISSN 1823-836X http://econ.upm.edu.my/ijem/vol9no1/5.%20Innovation%20and%20Productivity.pdf
spellingShingle Shafi’i, Mazlina
Ismail, Normaz Wana
Innovation and productivity: evidence from firms level data on Malaysian manufacturing sector
title Innovation and productivity: evidence from firms level data on Malaysian manufacturing sector
title_full Innovation and productivity: evidence from firms level data on Malaysian manufacturing sector
title_fullStr Innovation and productivity: evidence from firms level data on Malaysian manufacturing sector
title_full_unstemmed Innovation and productivity: evidence from firms level data on Malaysian manufacturing sector
title_short Innovation and productivity: evidence from firms level data on Malaysian manufacturing sector
title_sort innovation and productivity evidence from firms level data on malaysian manufacturing sector
url http://psasir.upm.edu.my/id/eprint/38044/1/Innovation%20and%20Productivity.pdf
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