IDEAS home Printed from https://ideas.repec.org/p/stp/stepre/2003r16.html
   My bibliography  Save this paper

Low-Tech Industries and the Knowledge Economy: State of the Art and Research Challenges

Author

Listed:

Abstract

This paper addresses a central problem for economic analysis and public policy in Europe. Should Europe focus on so-called high-technology or science-based industries in attempting to solve growth and employment problems? Or should it look to the growth prospects within the industries on which the European economy is actually based: low-technology and medium-technology industries (which we call ‘LMT industries’) in manufacturing and services? These questions are the focus of a European Commission research project called PILOT – ‘Policy and Innovation in Low-Tech’ (see www.pilot-project.org). This paper is a first output from the project – it addresses key issues in understanding LMT industries, mainly in terms of knowledge intensity and use. There are many who argue that high-technology industries are the bearers of the new knowledge economy. They argue that Europe should focus on knowledge intensive activities in such frontier areas as ICT, biotechnology and professional services. A related claim is that mature, traditional or LMT industries are likely to move to less developed countries. We claim that these perspectives are seriously mistaken. Taken together, LMT activities account for somewhere in the region of 97% of all economic activity in Europe. All European economies are trade-specialized in LMT products. All LMT industries are innovative – they generate significant proportions of their sales from new and technological changed products. Many LMT industries and products are surviving and growing on the basis of technological upgrading, high-grade design skills and the intensive application of knowledge to innovation. They have unique forms of industrial organisation and knowledge creation, complex links to science and technology knowledge infrastructures, and important regional dimensions. Here we focuses on the creation and use of knowledge in LMT industries. We claim that in the future the European economy, especially in the context of enlargement, will continue to rest on LMT activities. This implies that growth, competitiveness, cohesion and employment in Europe will depend on the performance of LMT industries. At the present time, the knowledge-creation problems faced by such sectors are neglected in policy arenas – but this will become a major challenge for EU innovation, technology and research policy.

Suggested Citation

  • David Jacobson & Hartmut Hirsch-Kreinsen & Keith Smith & Staffan Laestadius, "undated". "Low-Tech Industries and the Knowledge Economy: State of the Art and Research Challenges," STEP Report series 200316, The STEP Group, Studies in technology, innovation and economic policy.
    • Handle: RePEc:stp:stepre:2003r16
    as

    Download full text from publisher

    File URL: http://www.step.no/reports/Y2003/1603.pdf
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Véronique Ambrosini & Cliff Bowman, 2001. "Tacit Knowledge: Some Suggestions for Operationalization," Journal of Management Studies, Wiley Blackwell, vol. 38(6), pages 811-829, September.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Donata Favaro & Eniel Ninka & Margherita Turvani, 2018. "Human capital, technology intensity, and growth in a regional context," Argomenti, University of Urbino Carlo Bo, Department of Economics, Society & Politics, vol. 9(9), pages 1-22, January-A.
    2. Asheim, Bjorn T. & Coenen, Lars, 2005. "Knowledge bases and regional innovation systems: Comparing Nordic clusters," Research Policy, Elsevier, vol. 34(8), pages 1173-1190, October.
    3. Rammer, Christian & Köhler, Christian & Murmann, Martin & Pesau, Agnes & Schwiebacher, Franz & Kinkel, Steffen & Kirner, Eva & Schubert, Torben & Som, Oliver, 2010. "Innovationen ohne Forschung und Entwicklung: Eine Untersuchung zu Unternehmen, die ohne eigene FuE-Tätigkeit neue Produkte und Prozesse einführen," Studien zum deutschen Innovationssystem 15-2011, Expertenkommission Forschung und Innovation (EFI) - Commission of Experts for Research and Innovation, Berlin.
    4. Ewa Balcerowicz & Marek Peczkowski & Anna Wziatek-Kubiak, 2009. "The Innovation Patterns of Firms in Low and High Technology Manufacturing Sectors in the New Member States," CASE Network Studies and Analyses 0390, CASE-Center for Social and Economic Research.
    5. Petrou, Anastasia & Daskalopoulou, Irene, 2009. "Entrepreneurial culture and innovation in the services sector: case study evidence from Greece," MPRA Paper 22666, University Library of Munich, Germany.
    6. Havas, Attila & Nyiri, Lajos, 2007. "A magyar nemzeti innovációs rendszer: Háttértanulmány az OECD 2007/2008. évi innovációs országjelentése számára [National system of innovation in Hungary: Background report for the OECD Country Rev," MPRA Paper 69379, University Library of Munich, Germany.
    7. Havas, Attila, 2007. "O alargamento da UE e a política de Inovação nos países da Europa Central: O caso da Hungria [EU enlargement and innovation policy in Central European countries: The case of Hungary]," MPRA Paper 69874, University Library of Munich, Germany.
    8. Eduardo Goncalves & Eduardo Almeida, 2009. "Innovation and Spatial Knowledge Spillovers: Evidence from Brazilian Patent Data," Regional Studies, Taylor & Francis Journals, vol. 43(4), pages 513-528.
    9. Havas, Attila, 2004. "EU Enlargement and Innovation Policy in Central European Countries: The case of Hungary," MPRA Paper 69872, University Library of Munich, Germany.
    10. Yannis D. Caloghirou & Aimilia Protogerou & Aggelos Tsakanikas, 2014. "Exploring knowledge-intensive entrepreneurship in high-tech and low-tech manufacturing sectors: differences and similarities," Chapters, in: Hartmut Hirsch-Kreinsen & Isabel Schwinge (ed.), Knowledge-Intensive Entrepreneurship in Low-Tech Industries, chapter 2, pages 17-41, Edward Elgar Publishing.
    11. Mendona, Sandro, 2009. "Brave old world: Accounting for 'high-tech' knowledge in 'low-tech' industries," Research Policy, Elsevier, vol. 38(3), pages 470-482, April.
    12. Asheim, Bjørn & Coenen, Lars, 2005. "The Role of Regional Innovation Systems in a Globalizing Economy: Comparing Knowledge Bases and Institutional Frameworks in Nordic Clusters," Papers in Innovation Studies 2005/3, Lund University, CIRCLE - Centre for Innovation Research.
    13. Andrea Morrison, 2011. "Innovation and External Knowledge Sources in Industrial Districts: Evidence from an Italian Furniture Cluster," Chapters, in: Paul L. Robertson & David Jacobson (ed.), Knowledge Transfer and Technology Diffusion, chapter 7, Edward Elgar Publishing.
    14. Liang-Chih Chen, 2011. "Technological Learning and Capability Building in LMT Industries in Newly Industrializing Countries: Selected Examples from Taiwan," Chapters, in: Paul L. Robertson & David Jacobson (ed.), Knowledge Transfer and Technology Diffusion, chapter 11, Edward Elgar Publishing.
    15. Hossam S Ismail & Jenny Poolton & Hossein Sharifi, 2011. "An Interventionist Framework for Promoting Sustainable Growth in SMEs: The Role of Heis as Implementation Specialists," Environment and Planning C, , vol. 29(4), pages 622-640, August.
    16. Thierry Rayna & Ludmila Striukova, 2011. "Engineering versus Craftsmanship: Innovation in the Electric Guitar Industry, 1945–1984," Chapters, in: Paul L. Robertson & David Jacobson (ed.), Knowledge Transfer and Technology Diffusion, chapter 8, Edward Elgar Publishing.
    17. Heidenreich, Martin, 2009. "Innovation patterns and location of European low- and medium-technology industries," Research Policy, Elsevier, vol. 38(3), pages 483-494, April.
    18. Pim Den Hertog & Faïz Gallouj & Jeroen Segers, 2009. "Measuring innovation in a ‘low-tech’ service industry: the case of the Dutch hospitality industry," The Service Industries Journal, Taylor & Francis Journals, vol. 31(9), pages 1429-1449, November.
    19. Anastasia Petrou & Irene Daskalopoulou, 2008. "Innovation and Small Firms’ Growth Prospects: Relational Proximity and Knowledge Dynamics in a Low-tech Industry," European Planning Studies, Taylor & Francis Journals, vol. 17(11), pages 1591-1604, October.
    20. Kristin Ranestad, 2016. "The mining sectors in Chile and Norway, ca. 1870 - 1940: the development of a knowledge gap," Working Papers 0105, European Historical Economics Society (EHES).
    21. Havas, Attila & Nyiri, Lajos, 2007. "National system of innovation in Hungary," MPRA Paper 67161, University Library of Munich, Germany.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Fang Li & Sheng Zhang & Yuhuan Jin, 2018. "Sustainability of University Technology Transfer: Mediating Effect of Inventor’s Technology Service," Sustainability, MDPI, vol. 10(6), pages 1-17, June.
    2. Jan Resenga Maluleka & Omwoyo Bosire Onyancha & Isola Ajiferuke, 2016. "Factors influencing research collaboration in LIS schools in South Africa," Scientometrics, Springer;Akadémiai Kiadó, vol. 107(2), pages 337-355, May.
    3. Wai-Ki Fu & Hing-Po Lo & Derek Drew, 2006. "Collective learning, collective knowledge and learning networks in construction," Construction Management and Economics, Taylor & Francis Journals, vol. 24(10), pages 1019-1028.
    4. Li, Shenxue & Clark, Timothy & Sillince, John, 2018. "Constructing a strategy on the creation of core competencies for African companies," Technological Forecasting and Social Change, Elsevier, vol. 131(C), pages 204-213.
    5. Xiaolei Zou & Xiaoxi Chen & Fengling Chen & Chuxin Luo & Hongyan Liu, 2020. "The Influence of Negative Workplace Gossip on Knowledge Sharing: Insight from the Cognitive Dissonance Perspective," Sustainability, MDPI, vol. 12(8), pages 1-17, April.
    6. Sajjad Jasimuddin & Jun Li & Nicholas Perdikis, 2015. "Linkage between geographic space and knowledge transfer by multinational enterprises: a structural equation approach," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 54(3), pages 769-795, May.
    7. Golesorkhi, Sougand & Mersland, Roy & Randøy, Trond & Shenkar, Oded, 2019. "The Performance Impact of Informal and Formal Institutional Differences in Cross-Border Alliances," International Business Review, Elsevier, vol. 28(1), pages 104-118.
    8. Kurtis Elton & S. Wolfe, 2012. "Water Efficiency and the Professional Plumbing Sector: How Capacity and Capability Influence Knowledge Acquisition and Innovation," Water Resources Management: An International Journal, Published for the European Water Resources Association (EWRA), Springer;European Water Resources Association (EWRA), vol. 26(2), pages 595-608, January.
    9. Ogink, Ruben H.A.J. & Goossen, Martin C. & Romme, A. Georges L. & Akkermans, Henk, 2023. "Mechanisms in open innovation: A review and synthesis of the literature," Technovation, Elsevier, vol. 119(C).
    10. Li, Xiaoqing & Roberts, Joanne & Yan, Yanni & Tan, Hui, 2014. "Knowledge sharing in China–UK higher education alliances," International Business Review, Elsevier, vol. 23(2), pages 343-355.
    11. Sunday Bolade, 2022. "A Complementarity Perspective of Knowledge Resources," Journal of the Knowledge Economy, Springer;Portland International Center for Management of Engineering and Technology (PICMET), vol. 13(2), pages 1300-1320, June.
    12. Jamal Shamsie & Michael J. Mannor, 2013. "Looking Inside the Dream Team: Probing Into the Contributions of Tacit Knowledge as an Organizational Resource," Organization Science, INFORMS, vol. 24(2), pages 513-529, April.
    13. J Swart & J H Powell, 2006. "Men and measures: capturing knowledge requirements in firms through qualitative system modelling," Journal of the Operational Research Society, Palgrave Macmillan;The OR Society, vol. 57(1), pages 10-21, January.
    14. Steven Toms, 2010. "Value, profit and risk: accounting and the resource‐based view of the firm," Accounting, Auditing & Accountability Journal, Emerald Group Publishing Limited, vol. 23(5), pages 647-670, June.
    15. Anna Long & Matthew S. Wood & Daniel L. Bennett, 2023. "Entrepreneurial organizing activities and nascent venture performance," Small Business Economics, Springer, vol. 60(2), pages 433-461, February.
    16. Bettini, Yvette & Brown, Rebekah R. & de Haan, Fjalar J. & Farrelly, Megan, 2015. "Understanding institutional capacity for urban water transitions," Technological Forecasting and Social Change, Elsevier, vol. 94(C), pages 65-79.
    17. Lopez-Nicolas, Carolina & Soto-Acosta, Pedro, 2010. "Analyzing ICT adoption and use effects on knowledge creation: An empirical investigation in SMEs," International Journal of Information Management, Elsevier, vol. 30(6), pages 521-528.
    18. Raelin, Joseph A., 2019. "Toward a methodology for studying leadership-as-practice," EconStor Open Access Articles and Book Chapters, ZBW - Leibniz Information Centre for Economics, vol. 16(4), pages 480-508.
    19. Sergio Salis & Allan M. Williams, 2010. "Knowledge Sharing through Face‐to‐Face Communication and Labour Productivity: Evidence from British Workplaces," British Journal of Industrial Relations, London School of Economics, vol. 48(2), pages 436-459, June.
    20. Aidan R. Vining, 2003. "Internal Market Failure: A Framework for Diagnosing Firm Inefficiency," Journal of Management Studies, Wiley Blackwell, vol. 40(2), pages 431-457, March.

    More about this item

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:stp:stepre:2003r16. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Nils Henrik Solum (email available below). General contact details of provider: https://edirc.repec.org/data/steppno.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.