ABSTRACT

This chapter intends to find the determinants of export performance of Indian manufacturing firms through the use of different explanatory variables considered by the various theories in the literature. Kumar and Pradhan considered research and development (R&D) as well as embodied and dis-embodied technology separately and observed that R&D is an important determinant of Indian manufacturing firm performance in all the four technology groups they have considered. The dataset for Indian organised manufacturing firms for the firm-level study is compiled from the Prowess database, which maintains income statements and balance sheets of the companies listed with the Bombay Stock Exchange. This database is maintained and provided by the Center for Monitoring Indian Economy (CMIE), which provides data on a large number of Indian firms. Neo-technology theory says that educated and skilled manpower is required to establish and maintain contacts with foreign counterparts of a firm.