Export Competitiveness in the Knowledge-Based Industries: A Firm-Level Analysis of Indian Manufacturing

Author Name Nagesh Kumar and Jaya Prakash Pradhan
Author Name: 
Nagesh Kumar and Jaya Prakash Pradhan

This paper makes an attempt to identify factors that play important role in the export competitiveness of Indian manufacturing firms with particular emphasis on knowledge-based industries. The study finds that younger firms drive export competitiveness in the high technology and low technology sub-samples of Indian manufacturing whereas in the medium technology older firms are drivers of global competitiveness. Firm size is observed to have a non-linear impact on export performance largely represented by an inverted U-shape curve. It is also found that the firm’s own innovative activity is by far the most important technological factor contributing to enhance competitiveness whereas the import of foreign technology through technology contracts found to have detrimental effects on the export competitiveness in high technology and medium-high technology segments of Indian manufacturing.