An Exploration of Regional Labor Productivity Patterns of Manufacturing SMEs in Mexico
DOI:
https://doi.org/10.6000/1929-7092.2016.05.10Keywords:
Convergence, SMEs, economic growthAbstract
The goal of this paper is to characterize the small and medium-sized enterprises (SMEs) in Mexico by analyzing regional and industrial labor productivity growth differences in the manufacturing sector during the period 2004-2014. The results suggest that labor productivity differs according to the size of the establishment. While microenterprises and small establishments exhibit a moderate increase, medium- and large-sized establishments experience the largest increase during such period. The empirical analysis indicates the existence of absolute and conditional convergence in productivity growth for the SMEs. Industry differences across locations seem to be an important factor although regional differences account for the greater variation in productivity growth.References
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Banaia N., Eberts, R., & Fogarty, M. (1993) Universities and the startup of new companies: can we generalize from route 128 and Silicon Valley? Review of Economics and Statistics, 75(4), 761-766.
Bolio, E., Remes, J., Lajous, T. Manyika, J., Rosse, M., & Ramirez, E. (2014). A tale of two Mexicos: Growth and prosperity in a two-speed economy. McKinsey Global Institute. http://www.mckinsey.com/insights/americas/a_tale_of_two_mexicos
Cravo, A., Gourlay., A., & Becker, B. (2012). SMEs and Regional Economic Growth in Brazil. Small Bus Econ, 38, 217-230.
Dollar D., and Wolff E., (1988), “Covergence of Industry Labor Productivity among Advanced Economies, 1963-1982”,The Review of Economics and Statistics, Vol. 70, No. 4, pp. 549-558
Fazio G., & Piacentino, D. (2010). A Spatial Multilevel Analysis of Italian SMEs Productivity. Spatial Economic Analysis, 5(3), 299-316.
Fong Reynoso, C., Alarcón Osuna, M. A., & Ocampo Figueroa, L. E. (2014). Micro, Small and Medium-Sized Businesses in Jalisco: Their Evolution, and Strategic Challenges. Review of Business & Finance Studies, 5(2), 27-43.
Hanson, G. (2010). Why Isn´t Mexico Rich? NBERWorking Paper 16470. National Bureau of Economic Research.
Hulten, C. (2001). New Developments in Productivity Analysis. University of Chicago Press for National Bureau of Economic Research.
German-Soto, V., & Gutierrez F. (2013). Assesing some determinants of regional patenting: an essay from Mexican States. Technology and Investment, 4, 1-9.
Griliches, Z. (1990). Patents Statistics as Economic Indicators: A Survey. NBER Working Paper No.3301. National Bureau of Economic Research.
INEGI (2011) Micro, pequeña, mediana y gran empresa: estratificación de los establecimientos: Censos Economicos 2009. Instituto Nacional de Estadistica y Geografia. Mexico: INEGI, c2011.
INEGI (2013) Analisis de la demografia de los resultados 2012. Instituto Nacional de Estadistica y Geografia. Mexico: INEGI, c2013.
Jo Bane, M., & and Zenteno, R. (2009). Poverty and Poverty Alleviation Strategies in North America. In M. Jo Bane and R. Zenteno (Eds), The David Rockefeller Series on Latin American Studies, distributed by Harvard University Press, 2009.
Lee S., Florida, R., & Zoltan, A. (2004). Creativity and Entrpreneurship: A regional Analysis of New Firm Formation. Regional Studies, 38(8), 879-891.
Lee I., Hong E., & Sun, L. (2013). Regional knowledge production and entrepreneurial firm creation: spatial dynamic analysis. Journal of Business Research, 66, 2106-2115.
Levy, S. (2007). Can social programs reduce productivity and growth? A hypothesis for Mexico. IPC Working Paper Series Number 37, International Policy Center. University of Michigan.
Moretti, E. (2013) The New Geography of Jobs, Mariner Books, Houghton Mifflin Harcourt, Boston.
Munnell, A. (1990) Why Has Productivity Growth Declined? Productivity and Public Investment, New England Economic Review, January/Febrary, 1-22.
OECD (2010) SMEs, Entrepreneurship and Innovation, OECD Studies on SMEs and Entrepreneurship.
OECD (2013) Temas y Politicas Clave Sobre PYMES y Emprendimiento en Mexico, OECD Publishing.
Pan, M., Widner,B., & Enomoto, E. (2012). Growth and crime in contiguous states of Mexico. Review of Urban and Regional Development Studies, 24, 51-64.
Potter, J., Marchese, M., Feldman, M., Kemeny, T., Lawton-Smith, H., & Pike, T. (2013). The Local Dimension of SME and Entrepreneurship Issues and Policies in Mexico. OECD Local Economic and Employment Development (LEED) Working Papers, No. 2013/14. OECD Publishing, Paris.
Sandoval, R., Carreon, M., Ortiz, D., & Moreno, J. (2011). Designated in Mexico: A Road-map for Design, Engineering, and Advanced Manufacturing, ProMexico.
SEDATU (2014). Programa Regional de Desarrollo del Sur-Sureste. Secretaria de Desarrollo Agrario, Territorial y Urbano. Direccion General de Desarrollo Regional.
Secretaria de Economia (2008). Diario Oficial, Miercoles 14 de mayo de 2008. http://www.fondopyme.gob.mx/2010/docs_pdfs/ progsectorialeconomia_DOF.pdf
Secretaria de Economia (2012). Consejo Nacional para la Competitividad de la Micro, Pequena y Mediana Empresa
(CNCMIPYME). Secretaria de Economia, Administracion Publica Federal.
Sleuwaegen, L. & Boiardi, P. (2014). Creativity and Regional Innovation: Evidence from EU regions. Research Policy, 43, 1508-1522.
Sprague, S. (2014), What can labor productivity tell us about the U.S. economy?, Bureau of labor statistics, May Vol.3, No.12.
Solow, R. (1956). A Contribution to the Theory of Economic Growth. Quaterly Journal of Economics, 70(1), 65-94.
UNCTAD (2010) Integrating Developing Countries’ SMEs into Global Value Chains. United Nations, 2010
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Published
2016-05-06
How to Cite
Flores, M., Andrés-Rosales, R. ., & Villarreal, A. (2016). An Exploration of Regional Labor Productivity Patterns of Manufacturing SMEs in Mexico. Journal of Reviews on Global Economics, 5, 116–130. https://doi.org/10.6000/1929-7092.2016.05.10
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Special Issues | Economic Growth and Convergence: Analyses for the Mexican States
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