"Learning by Dining" : Informal Networks and Productivity in Mexican Industry

The authors analyze the determinants of firm productivity in a group of Mexican firms. In particular, they test the contribution of external factors such as trade and knowledge diffusion, the availability of infrastructure, informal knowledge excha...

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Main Authors: Lall, Somik V., Ghosh, Sudeshna
Format: Policy Research Working Paper
Language:English
en_US
Published: World Bank, Washington, DC 2013
Subjects:
Online Access:http://documents.worldbank.org/curated/en/2002/02/1717450/learning-dining-informal-networks-productivity-mexican-industry
http://hdl.handle.net/10986/15612
id okr-10986-15612
recordtype oai_dc
spelling okr-10986-156122021-04-23T14:03:19Z "Learning by Dining" : Informal Networks and Productivity in Mexican Industry Lall, Somik V. Ghosh, Sudeshna FIRMS PRODUCTIVITY INFRASTRUCTURE DEVELOPMENT INFORMAL ORGANIZATIONS INFORMATION EXCHANGE INFORMATION DISSEMINATION COMPETITIVENESS BUSINESS ENVIRONMENT REGULATORY FRAMEWORK BUSINESS NETWORKS ACCESS TO INFORMATION BUSINESS PROCESS MODELS ACCESS TO INFORMATION INFORMAL MEETINGS LEARNING INFLUENCE (PSYCHOLOGY) INFORMATION ANALYSIS AGRICULTURE BUSINESS ASSOCIATIONS CHAMBERS OF COMMERCE CITIES COMPETITIVE ADVANTAGE COMPETITIVE ENVIRONMENT CONSUMER PURCHASING DECISION-MAKING ECONOMIC ACTIVITY ECONOMIC DEVELOPMENT ECONOMIC EFFICIENCY ECONOMIC GEOGRAPHY ECONOMIC GROWTH ECONOMIC HISTORY ECONOMIC RESEARCH EMPIRICAL ANALYSIS EMPIRICAL EVIDENCE EMPLOYMENT EXCHANGE RATE EXPORTS EXTERNALITIES FISCAL POLICY GOVERNMENT REGULATIONS GOVERNMENT SUBSIDIES GROWTH MODELS GROWTH RATE GROWTH THEORY HUMAN CAPITAL IMPORTS INCREASING RETURNS INNOVATIONS KNOWLEDGE NETWORKS LABOR INPUTS LABOR PRODUCTIVITY LEARNING LEGISLATION MARKET COMPETITION MONOPOLY RENTS POLICY ENVIRONMENT POLITICAL ECONOMY PRICE CONTROLS PRODUCTION FUNCTION PRODUCTION INPUTS PRODUCTIVITY PURCHASING POWER REGRESSION ANALYSIS RENT SEEKING SUNK COSTS TAXATION TECHNICAL ASSISTANCE TECHNICIANS TECHNOLOGICAL CHANGE TECHNOLOGICAL INNOVATIONS TECHNOLOGY ADOPTION TRADE LIBERALIZATION TRAINING PROGRAMS URBANIZATION WAGES WEALTH The authors analyze the determinants of firm productivity in a group of Mexican firms. In particular, they test the contribution of external factors such as trade and knowledge diffusion, the availability of infrastructure, informal knowledge exchange, competitive environment, and business regulatory climate. The authors find that one factor consistently emerges as an important proximate source of productivity-access to informal networks. Interaction in the form of "business lunches" with local buyers and suppliers, competitors, government officials, and other professionals have a significant and positive effect on a firm's productivity. Access to regulators and agents of backward and forward linkages are important in settings where information on business practices and regulations is not publicly disclosed. The results complement predictions of traditional growth theory-in addition to technology and learning being the driving force of firm productivity, proximity to influential individuals who can grant favors or provide information advantage on business and trade practices have significant productivity impacts. 2013-09-04T19:46:45Z 2013-09-04T19:46:45Z 2002-02 http://documents.worldbank.org/curated/en/2002/02/1717450/learning-dining-informal-networks-productivity-mexican-industry http://hdl.handle.net/10986/15612 English en_US Policy Research Working Paper;No. 2789 CC BY 3.0 IGO http://creativecommons.org/licenses/by/3.0/igo/ World Bank World Bank, Washington, DC Publications & Research :: Policy Research Working Paper Publications & Research Latin America & Caribbean Mexico
repository_type Digital Repository
institution_category Foreign Institution
institution Digital Repositories
building World Bank Open Knowledge Repository
collection World Bank
language English
en_US
topic FIRMS
PRODUCTIVITY
INFRASTRUCTURE DEVELOPMENT
INFORMAL ORGANIZATIONS
INFORMATION EXCHANGE
INFORMATION DISSEMINATION
COMPETITIVENESS
BUSINESS ENVIRONMENT
REGULATORY FRAMEWORK
BUSINESS NETWORKS
ACCESS TO INFORMATION
BUSINESS PROCESS MODELS
ACCESS TO INFORMATION
INFORMAL MEETINGS
LEARNING
INFLUENCE (PSYCHOLOGY)
INFORMATION ANALYSIS AGRICULTURE
BUSINESS ASSOCIATIONS
CHAMBERS OF COMMERCE
CITIES
COMPETITIVE ADVANTAGE
COMPETITIVE ENVIRONMENT
CONSUMER PURCHASING
DECISION-MAKING
ECONOMIC ACTIVITY
ECONOMIC DEVELOPMENT
ECONOMIC EFFICIENCY
ECONOMIC GEOGRAPHY
ECONOMIC GROWTH
ECONOMIC HISTORY
ECONOMIC RESEARCH
EMPIRICAL ANALYSIS
EMPIRICAL EVIDENCE
EMPLOYMENT
EXCHANGE RATE
EXPORTS
EXTERNALITIES
FISCAL POLICY
GOVERNMENT REGULATIONS
GOVERNMENT SUBSIDIES
GROWTH MODELS
GROWTH RATE
GROWTH THEORY
HUMAN CAPITAL
IMPORTS
INCREASING RETURNS
INNOVATIONS
KNOWLEDGE NETWORKS
LABOR INPUTS
LABOR PRODUCTIVITY
LEARNING
LEGISLATION
MARKET COMPETITION
MONOPOLY RENTS
POLICY ENVIRONMENT
POLITICAL ECONOMY
PRICE CONTROLS
PRODUCTION FUNCTION
PRODUCTION INPUTS
PRODUCTIVITY
PURCHASING POWER
REGRESSION ANALYSIS
RENT SEEKING
SUNK COSTS
TAXATION
TECHNICAL ASSISTANCE
TECHNICIANS
TECHNOLOGICAL CHANGE
TECHNOLOGICAL INNOVATIONS
TECHNOLOGY ADOPTION
TRADE LIBERALIZATION
TRAINING PROGRAMS
URBANIZATION
WAGES
WEALTH
spellingShingle FIRMS
PRODUCTIVITY
INFRASTRUCTURE DEVELOPMENT
INFORMAL ORGANIZATIONS
INFORMATION EXCHANGE
INFORMATION DISSEMINATION
COMPETITIVENESS
BUSINESS ENVIRONMENT
REGULATORY FRAMEWORK
BUSINESS NETWORKS
ACCESS TO INFORMATION
BUSINESS PROCESS MODELS
ACCESS TO INFORMATION
INFORMAL MEETINGS
LEARNING
INFLUENCE (PSYCHOLOGY)
INFORMATION ANALYSIS AGRICULTURE
BUSINESS ASSOCIATIONS
CHAMBERS OF COMMERCE
CITIES
COMPETITIVE ADVANTAGE
COMPETITIVE ENVIRONMENT
CONSUMER PURCHASING
DECISION-MAKING
ECONOMIC ACTIVITY
ECONOMIC DEVELOPMENT
ECONOMIC EFFICIENCY
ECONOMIC GEOGRAPHY
ECONOMIC GROWTH
ECONOMIC HISTORY
ECONOMIC RESEARCH
EMPIRICAL ANALYSIS
EMPIRICAL EVIDENCE
EMPLOYMENT
EXCHANGE RATE
EXPORTS
EXTERNALITIES
FISCAL POLICY
GOVERNMENT REGULATIONS
GOVERNMENT SUBSIDIES
GROWTH MODELS
GROWTH RATE
GROWTH THEORY
HUMAN CAPITAL
IMPORTS
INCREASING RETURNS
INNOVATIONS
KNOWLEDGE NETWORKS
LABOR INPUTS
LABOR PRODUCTIVITY
LEARNING
LEGISLATION
MARKET COMPETITION
MONOPOLY RENTS
POLICY ENVIRONMENT
POLITICAL ECONOMY
PRICE CONTROLS
PRODUCTION FUNCTION
PRODUCTION INPUTS
PRODUCTIVITY
PURCHASING POWER
REGRESSION ANALYSIS
RENT SEEKING
SUNK COSTS
TAXATION
TECHNICAL ASSISTANCE
TECHNICIANS
TECHNOLOGICAL CHANGE
TECHNOLOGICAL INNOVATIONS
TECHNOLOGY ADOPTION
TRADE LIBERALIZATION
TRAINING PROGRAMS
URBANIZATION
WAGES
WEALTH
Lall, Somik V.
Ghosh, Sudeshna
"Learning by Dining" : Informal Networks and Productivity in Mexican Industry
geographic_facet Latin America & Caribbean
Mexico
relation Policy Research Working Paper;No. 2789
description The authors analyze the determinants of firm productivity in a group of Mexican firms. In particular, they test the contribution of external factors such as trade and knowledge diffusion, the availability of infrastructure, informal knowledge exchange, competitive environment, and business regulatory climate. The authors find that one factor consistently emerges as an important proximate source of productivity-access to informal networks. Interaction in the form of "business lunches" with local buyers and suppliers, competitors, government officials, and other professionals have a significant and positive effect on a firm's productivity. Access to regulators and agents of backward and forward linkages are important in settings where information on business practices and regulations is not publicly disclosed. The results complement predictions of traditional growth theory-in addition to technology and learning being the driving force of firm productivity, proximity to influential individuals who can grant favors or provide information advantage on business and trade practices have significant productivity impacts.
format Publications & Research :: Policy Research Working Paper
author Lall, Somik V.
Ghosh, Sudeshna
author_facet Lall, Somik V.
Ghosh, Sudeshna
author_sort Lall, Somik V.
title "Learning by Dining" : Informal Networks and Productivity in Mexican Industry
title_short "Learning by Dining" : Informal Networks and Productivity in Mexican Industry
title_full "Learning by Dining" : Informal Networks and Productivity in Mexican Industry
title_fullStr "Learning by Dining" : Informal Networks and Productivity in Mexican Industry
title_full_unstemmed "Learning by Dining" : Informal Networks and Productivity in Mexican Industry
title_sort "learning by dining" : informal networks and productivity in mexican industry
publisher World Bank, Washington, DC
publishDate 2013
url http://documents.worldbank.org/curated/en/2002/02/1717450/learning-dining-informal-networks-productivity-mexican-industry
http://hdl.handle.net/10986/15612
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