Impediments to advanced technology adoption for Canadian manufacturers

Using survey data, this paper investigates problems that firms in the Canadian manufacturing sector face when they adopt advanced technology. The impediments fall into five groups: cost-related, institution-related, labor-related, organization-related, and information-related. While it might be expected that impediments would be more frequently cited by non-users than users of technologies, the opposite occurs. This is because innovation involves a learning process. Innovators and technology users face problems that they have to solve and the more technologically innovative firms have greater problems. We conclude that the information on impediments in technology surveys should not be interpreted as impenetrable barriers that prevent technology adoption. Rather, these surveys delineate areas where successful firms face and solve problems.

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