Abstract
The goal of this paper is to investigate the impact of technology investments on production efficiency in manufacturing companies and how different these relationships are for low-technology and high-technology companies. The empirical part was based on the analysis of 2,848 large, small and medium-sized Czech companies by using Bayesian networks (BNs). The results show that technological investments have the greatest positive impact on the growth of labour productivity and on a decline in labour intensity in low technology enterprises. The technological investments have a positive impact on labour productivity growth in high-technology enterprises, but at the same time, the technological investments have an impact on the increase of labour intensity. On the contrary, the influence of investment growth was insignificant on the indicators of material and services intensity. Technologically intensive investments have a different impact on small, mediumsized and on large enterprises. The reaction of large companies depends on the category of technology intensity in contrast to small and medium-size enterprises.
Highlights
Industry is an important part of the economy of the European Union and it must continually invest in new technologies and innovations in order to maintain its international competitiveness
The companies were selected according to their structure by technological intensity that corresponds to the structure of the manufacturing industry in Czech Republic
After converging the hill-climbing algorithm with restriction implemented by blacklist and whitelist, we obtained Bayesian networks (BNs), which could be described by the following product of conditional probabilities: P(sector, maei, li, size, c.1.ratio, output, si) = P(sector) × P(maei | sector) ×
Summary
Industry is an important part of the economy of the European Union and it must continually invest in new technologies and innovations in order to maintain its international competitiveness. It generates about 19.63% of the gross added value of the EU economy (Eurostat, 2019) compared to 14.72% in the USA (OECD stat., 2019). The share of industry in the creation of gross value added (GVA) for the whole of the Czech economy is about 27% (Eurostat, 2019). This share has not changed in the short and long time period (Kraftova et al, 2011)
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