 Impact of R&D Spillovers on Firm-Level R&D Intensity: Panel Data Evidence from Electronics Goods Sector in IndiaRicha Shukla ()
Chapter Chapter 9 in Globalisation of Technology, 2018, pp 203-225 from Springer Abstract: Abstract In this paper, we quantify the impact of R&D spillovers along with other firm-specific characteristics, such as the technology imports, firm size and age, in determining the in-house R&D intensity for a selected sample of electronic firms in India. This study, therefore, explores the significance of the R&D-induced technological efforts of electronic firms for the other R&D units operating within similar industry groups during the recent past decade of economic reforms (2002–2014). We construct an unbalanced panel of 63 electronic firms for the time period 2002–14 based on annual firm-level data available in CMIE Prowess database. Our results indicate that the Indian electronic firms benefitting from R&D spillovers within their line of business are spending relatively less on in-house R&D activities. However, for select industry groups within this sector, there also exists complementarity between (own) R&D efforts that are induced by the technological know-how obtained from innovations by others. Firms, therefore, look for spillover effects which are easier to obtain than their own in-house R&D whose results can be achieved in the medium or long term. We could possibly attribute this to the presence of multinationals in this sector and the resultant pressure on competition as driving these firms to spend more on R&D. While the (modern) Indian electronics goods sector predominantly consists of young-and middle-aged firms, but even then age of the firm (implying ‘learning by doing’) turns out to be positively significant. When we consider possible R&D spillovers within the similar industry group together with experience of the firms, it is observed that the relatively older firms are better equipped to benefit from such R&D spillovers and hence are incurring less R&D expenditure per unit of (net) sales. Small and medium firms catering to the huge consumer electronics market are more R&D intensive than their larger counterparts. Keywords: Spillover; Indian Electronics; CMIE Prowess Database; Related Industry Groups; Electronics Firms (search for similar items in EconPapers) There are no downloads for this item, see the EconPapers FAQ for hints about obtaining it. Related works: Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text Persistent link: https://EconPapers.repec.org/RePEc:spr:isbchp:978-981-10-5424-2_9 Ordering information: This item can be ordered from DOI: 10.1007/978-981-10-5424-2_9 Access Statistics for this chapter More chapters in India Studies in Business and Economics from Springer |
Is your work missing from RePEc? Here is how to contribute.
Questions or problems? Check the EconPapers FAQ or send mail to .
EconPapers is hosted by the
School of Business at Örebro University.