Main Article Content
This paper examines the relationship between research and development (R&D), human capital and performance of the manufacturing sector in Malaysia, spanning the period 2000-2010. It takes into account ownership structure to highlight differences in the roles of R&D and human capital in boosting performance. The results show the significant role of R&D and skilled labour in increasing value-added across subsectors of manufacturing, for both local and foreign firms. Unskilled labour contributes significantly to local firms compared with foreign ones. However, the magnitude of the impact of R&D on performance is found to be much smaller; with significant impacts for both local and foreign firms. This suggests that the extent of R&D has not been fully realised in the manufacturing sector, even with the higher averages in R&D expenditure by foreign firms. Therefore, the types of R&D for performance are important for policymakers to address, in that, the focus should move beyond the narrow view of R&D (namely the size of R&D expenditure).
Submission of a manuscript implies: that the work described is original, has not been published before (except in the form of an abstract or as part of a published lecture, review, or thesis); that is not under consideration for publication elsewhere; that its publication has been approved by all co-authors, if any, as well as tacitly or explicitly by the responsible authorities at the institution where the work was carried out. Transfer of copyright to the University of Malaya becomes effective if and when the article is accepted for publication. The copyright covers the exclusive right to reproduce and distribute the article, including reprints, translations, photographic reproductions, microform, electronic form (offline and online) or other reproductions of similar nature.
An author may self-archive the English language version of his/her article on his/her own website and his/her institutions repository; however he/she may not use the publishers PDF version which is posted on www.ijie.um.edu.my. Furthermore, the author may only post his/her version, provided acknowledgement is given to the original source of publication and a link must be accompanied by the following text: The original publication is available at www.ijie.um.edu.my.
All articles published in this journal are protected by copyright, which covers the exclusive rights to reproduce and redistribute the article (e.g. as offprint), as well as all translation rights. No material published in this journal may be reproduced photographically or stored on microfilm, in electronic database, video disks, etc., without first obtaining written permission from the publishers. The use of general descriptive names, trade names, trademarks, etc., in this publication, even if not specifically identified, does not imply that these names are not protected by the relevant laws and regulations.
The copyright owners consent does not include copying for general distribution, promotion, new works, or resale. In these cases, specific written permission must first be obtained from the publishers.