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Determinants of innovation and productivity across manufacturing and services sectors: micro evidence from Mexico

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  • Claudia De Fuentes
  • Gabriela Dutrénit
  • Natalia Gras
  • Fernando Santiago

Abstract

This paper presents an analysis of the determinants of innovation activities, and its effect on output and productivity across manufacturing and services firms in Mexico. We build on the theoretical framework of synthesis approach and contribute to identify the main differences of innovation intensity and its effects across four sectoral groups with different learning modes. Based on data from the 2010 Mexican innovation survey, our results show important differences across sectors and indicate that more dynamic services firms have similar innovation patterns to those in manufacturing. In terms of policy implications, this study highlights the importance of promoting innovation as the basis for improved productivity of firms in Mexico differentiating by sectors. More specifically, policy interventions need to enhance both the number of firms that perform innovation, and the intensity of those innovation activities.

Suggested Citation

  • Claudia De Fuentes & Gabriela Dutrénit & Natalia Gras & Fernando Santiago, 2020. "Determinants of innovation and productivity across manufacturing and services sectors: micro evidence from Mexico," Innovation and Development, Taylor & Francis Journals, vol. 10(3), pages 323-345, September.
    • Handle: RePEc:taf:riadxx:v:10:y:2020:i:3:p:323-345
    DOI: 10.1080/2157930X.2019.1622248
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