Foreign Ownership, Technological Capability and Exports: Evidence from Sri Lankan Enterprises
Dr.Ganesh Wignaraja, Asian Development Bank, Manila, Philippines
Case studies suggest that the acquisition of firm-level technological capability is a prerequisite for export success in developing countries. Yet there are relatively few econometric studies that investigate this relationship. Drawing on recent methodological developments in the literature on technological capabilities, this paper analyses the determinants of export performance of Sri Lankan firms. The determinants include foreign ownership, technological capabilities, skills capital and geographical location. An interesting feature of the econometric analysis was the construction a technology index. The paper also presents firm-level perceptions of Sri Lanka’s investment climate and business services and discusses some policy implications arising from the study.
Dr. Ganeshan Wignaraja is Senior Economist and Team Leader (Trade Integration) at Asian Development Bank's Office of Regional Integration. Formerly, he was Head of Competitiveness and SME Strategy at Maxwell Stamp PLC and worked for the Oxford University and the OECD. He was also an Honorary Fellow at UNU-INTECH. His recent books include: Competitiveness Strategy in Developing Countries; Trade Liberalization in Sri Lanka: Exports, Technology and Industrial Policy; and Technology and Enterprise Development: Ghana under Structural Adjustment.
Venue: UNU-MERIT, Maastricht
Date: 27 June 2006