Determinants of Innovation in Selected Manufacturing Firms in India: Role of R&D and Exports

Seenaiah, K and Rath, Badri Narayan (2018) Determinants of Innovation in Selected Manufacturing Firms in India: Role of R&D and Exports. Science Technology and Society. pp. 1-20. ISSN 0971-7218

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Abstract

This article examines the determinants of innovation using selected manufacturing firms in India. Our study is based on 190 manufacturing firms which were surveyed from Bengaluru and Hyderabad cities in India. The results based on panel probit model reveal that exports and R&D expenditure positively and significantly affect the innovation in case of manufacturing sector. Other key factors such as import intensity, manager’s prior experience, and conducting training sessions to the employee at firm level do positively affect the innovation activities. However, firm age and capital intensity negatively affect innovation. The results suggest the policymakers to concentrate more on export orientation policies and investing in R&D through subsidising or creating more R&D incentive projects which would significantly boost innovations in India.

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IITH Creators:
IITH CreatorsORCiD
Rath, Badri Narayanhttp://orcid.org/0000-0001-7211-0952
Item Type: Article
Subjects: Social sciences > Political Science & Economics
Divisions: Department of Liberal Arts
Depositing User: Team Library
Date Deposited: 16 Jan 2018 11:19
Last Modified: 16 Jan 2018 11:19
URI: http://raiith.iith.ac.in/id/eprint/3727
Publisher URL: http://doi.org/10.1177/0971721817744445
OA policy: http://www.sherpa.ac.uk/romeo/issn/0971-7218/
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