Competitiveness of the Philippine IT Industry: What Lies Ahead

This paper examines the competitiveness of the Philippine information technology (IT) industry vis-à-vis its emerging competitors and neighboring countries in the region. While the industry boasts of being the largest foreign exchange earner for the country, it suffers from structural weaknesses that, unless addressed, render its long-term competitiveness at risk, especially as the competitors are increasing their stake in the world IT market faster than the Philippines. This paper discusses what constraints the industry’s long-term growth and identifies some crosscutting strategies to lessen or overcome such difficulties and keep the industry’s present edge.globalization, information technology (IT)

Competitiveness of the Philippine IT Industry: What Lies Ahead

This paper examines the competitiveness of the Philippine information technology (IT) industry vis-à-vis its emerging competitors and neighboring countries in the region. While the industry boasts of being the largest foreign exchange earner for the country, it suffers from structural weaknesses that, unless addressed, render its long-term competitiveness at risk, especially as the competitors are increasing their stake in the world IT market faster than the Philippines. This paper discusses what constraints the industry’s long-term growth and identifies some crosscutting strategies to lessen or overcome such difficulties and keep the industry’s present edge.globalization, information technology (IT)

Usage and Diffusion of Cellular Telephony, 1998-2004

In this paper, we study the dynamics of usage intensity of second-generation cellular telephony over the diffusion curve. We address two specific questions: First, does information about usage intensity over time allow us to draw conclusions about the underlying drivers of technology diffusion? Seconds, what effect does the existence and penetration of previous generations and other networks in the same generation on network usage intensity? Using an operator-level panel covering 41 countries with quarterly data over 6 years, we find that heterogeneity among adopters dominates network effects and that different technological generations are complements in terms of usage, but substitutes in terms of subscription. ZUSAMMENFASSUNG - (Gebrauch und Infusion von Mobilfunktelefonie, 1998-2004) In diesem Beitrag untersuchen wir die Dynamik der Gebrauchsintensität von Mobilfunktelekommunikation zweiter Generation (D-Netzwerk in Deutschland) in verschiedenen Phasen ihrer Marktdiffusion. Wir stellen zwei spezifische Fragen: Erstens, kann man an Hand der Informationen über die Gebrauchsintensität die zugrundeliegenden Treiber der Technologiediffusion identifizieren? Zweitens, welche Auswirkung haben die Existenz und die Marktdurchdringung der vorherigen Generationen und andere Netzwerke derselben Generation auf die Gebrauchsintensität eines Mobilfunknetzwerks? Mittels der Paneldaten auf Netzwerkbetreiberebene, die 41 Nationen vierteljährlich über 6 Jahre umspannen, finden wir, dass die Abonnentenheterogenität die Netzwerkeffekte dominiert. Außerdem stellt sich heraus, dass die unterschiedlichen Technologiegenerationen bezüglich der Gebrauchsintensität komplementär zueinander sind, jedoch bezüglich ihrer Subskription Substituten darstellen.Cellular telephony, diffusion, network effects, consumer heterogeneity, fixed-mobile substitutability

Building knowledge-based economies: research projects in knowledge management and knowledge transfer

Small and medium-sized enterprises (SMEs) are viewed as the growth engines of the new knowledgebased economy. This new economic growth model differs from the old in significant ways, many of which are related to the knowledge base that will be required by the SMEs. Based upon prior research a set of factors important to the success of SMEs in a knowledge-based economy is described. Focusing on those factors related to the knowledge base, the paper concludes with a set of research questions and brief descriptions of three research projects on knowledge management and knowledge transfer

Pathways to Innovation in Asia's Leading Electronics Exporting Countries: Drivers and Policy Implications

This paper was prepared for the Democratic Pacific Assembly 2003 Conference, "Common Future of the 21st Century Pacific," September 18-21, 2003, in Taipei, Taiwan. This paper offers a framework for exploring emerging pathways to innovation in Asian electronics industries, as well as their drivers and policy implications. The focus is on "stylized facts" rather than on the diversity of specific country trajectories. I demonstrate that the role of Asia's leading players in the electronics industry is changing - from global export production bases for hardware and software, a transition is under way to the creation of commercially viable innovations and standards. I argue that transformations in global markets, production and innovation systems are providing new opportunities for Asian firms that seek to improve their innovative capabilities. To exploit these opportunities, however, important changes are required in Asia's innovation strategies, policies and management approaches. I highlight the considerable potential of "technology diversification" strategies as an intermediate option for attempts to move beyond "fast follower" strategies. A completely revised and updated version has been published as: "Pathways to innovation in Asia's leading electronics-exporting countries - a framework for exploring drivers and policy implications", International Journal of Technology Management, special issue on "Competitive Strategies of Asian High-Tech Firms; Vol. 29, 1/ 2: 6-20.

Late Innovation Strategies in Asian Electronics Industries: A Conceptual Framework and Illustrative Evidence

This paper was published in Oxford Development Studies special issue in honor of the late Professor Linsu Kim. The paper reviews evidence on the evolution of electronics design in Asia's leading electronics exporting countries, to establish what capabilities have been developed, and to shed light on the forces that are driving "late innovation" strategies. It also reviews intellectual sources that can be used to theoretically ground these hypotheses. Using a well-known taxonomy of innovation that distinguishes incremental, modular, architectural and radical innovations, and the concept of "disruptive technologies", I argue that Asian firms may have realistic chances to engage in incremental innovations as well as in architectural innovations. However, to sustain "late innovation" strategies over a longer period, "complex system integration" capabilities are necessary to provide the missing link.

Growth & Innovation Policies For a Knowledge Economy. Experiences From Finland, Sweden & Singapore.

Technical progress is at the heart of economic growth and development. New or improved technology can be achieved through own research and innovations or through the absorption and adaptation of foreign technologies. To facilitate such technical progress requires a complex system of supporting institutions and good economic policies. This paper analyzes technical progress and innovation policies in three small open economies: Finland, Sweden and Singapore. All three economies have transformed from depending on raw material intensive or labor-intensive production to highly competitive economies with a relatively high degree of technological knowledge. We find some common determinants to the transformation, such as large investments in physical and human capital and the importance of political or economic crises in forcing through good economic policies, but there are also many country specific aspects that have been crucial in the different countries.Economic Growth; Innovation; Economic Policies; Technology

Asia-Pacific telecommunications liberalisation and productivity performance

This study examines the growth in total factor productivity (TFP) of 12 Asia-Pacific telecommunications carriers for the period 1987 through 1990. Carriers are chosen to represent the stages of telecommunications liberalisation identified by the International Telecommunication Union (1995a). A model relating TFP growth to output growth, changes in output mix, technology change and market competition and private ownership is estimated on a unique data set obtained from telecommunications carrier annual reports. Empirical results show competition, private ownership, technology change and scale economies improve carrier TFP growth.Asia-Pacific telecommunications; liberalisation and productivity performance

Global Production Networks and Industrial Upgrading in China: The Case in Electronics Contract Manufacturing.

The paper analyzes the networks of U.S. and Taiwan based electronics contract manufacturers in South China, today the world´s most important location for low-cost mass production in the electronics industry. Based on extensive empirical research, the paper traces the production sites, the organization of manufacturing, and the workforce policies of contract manufacturers in the region, and discusses perspectives and limits of industrial upgrading, especially with regard to the role of labor. In theoretical terms, the author attempts to integrate an analysis of "global flagship networks" with concepts of industrial sociology.