Spillover effects enhancing sales, production and competitiveness of South African manufacturers

21 October 2013

With the surge of globalisation, economic systems became integrated across borders and it became easier for firms to share knowledge and improve their global competitiveness. This study examined the connections between firms in the manufacturing industries with regard to knowledge and innovation spillover effects on a regional, national and international basis. The contributions of spillover effects, improving competitiveness of firms, were also investigated. The role of education in facilitating spillover effects also received attention. The results showed a significant interconnectedness between firm growth and knowledge sharing on all levels. The importance of a productive human capital base was also confirmed.