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Ranking the Industrial Activities of Maharashtra (India) based on Relative and Competitive Advantages

Author

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  • Gholamreza Fathipour
  • Mehri Tabibzadeh

Abstract

Today, increase of productivity requires the special attention to industrial sector and increase of investment in it. Limitation of financial resources for investment or high risk of investment in manufacturing and industrial activities makes the need to plan and determine investment priority unavoidable. This study identifies the industries with potential of investment in industrial sector of Maharashtra for leading the investment towards these industries. For this purpose, industrial activities of Maharashtra have been ranked based on NIC two-digit codes by means of combining factor analysis, numerical taxonomy and indices related to subject, and data and statistics presented by Ministry of Industry (ASI) for two periods within 1998-1999 and 2007-2008. Then, upon combining the obtained results, final priorities of investment in the sector have been explained. Within 1998-1999, the maximum advantage degrees were allocated to activity codes (24) Manufacture of chemicals and chemical products, (23) Manufacture of coke, refined petroleum products and nuclear fuel, (35) Manufacture of other transport equipment respectively and for the period 2007-2008, maximum advantage degrees were allocated to industrial activity codes (23) Manufacture of coke, refined petroleum products and nuclear fuel, (37) Manufacture of recycling, (19) Manufacture of luggage, handbags, saddler, harness and footwear and (35) Manufacture of other transport equipment respectively.

Suggested Citation

  • Gholamreza Fathipour & Mehri Tabibzadeh, 2014. "Ranking the Industrial Activities of Maharashtra (India) based on Relative and Competitive Advantages," Artha Vijnana, Gokhale Institute of Politics and Economics, vol. 56(3), pages 361-381.
    • Handle: RePEc:gok:arviv1:v:56:y:2014:i:3:p:361-381
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