Please use this identifier to cite or link to this item: https://hdl.handle.net/10419/53996 
Year of Publication: 
2010
Series/Report no.: 
WIDER Working Paper No. 2010/03
Publisher: 
The United Nations University World Institute for Development Economics Research (UNU-WIDER), Helsinki
Abstract: 
This paper probes the drivers, dimensions, achievements, and outcomes of technological innovations carried out by SMEs in the auto components, electronics, and machine tool sectors of Bangalore in India. Further, it ascertains the growth rates of innovative SMEs vis-à-vis non-innovative SMEs in terms of sales turnover, employment, and investment. Thereafter, it probes the relationship between innovation and growth of SMEs by (i) estimating a correlation between innovation sales and sales growth, (ii) calculating innovation sales for high, medium, and low growth innovative SMEs and doing a one-way ANOVA, and (iii) ascertaining the influence of innovation sales, along with investment growth and employment growth on gross value-added growth by means of multiple regression analysis. The paper brings out substantial evidence to argue that innovations of SMEs contributed to their growth.
Subjects: 
technological innovations
sales growth
auto components
electronics
machine tools
Bangalore
JEL: 
L25
L26
ISBN: 
978-92-9230-238-2
Document Type: 
Working Paper

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