Template-Type: ReDIF-Paper 1.0
Author-Name: Koellinger, Ph.D.
Author-Name-Last: Koellinger
Author-Name-First: Philipp
Author-Person: pko149
Author-Name: Schade, C.
Author-Name-Last: Schade
Author-Name-First: Christian
Title: Acceleration of technology adoption within firms -- Emperical evidence from e-business
Abstract: This paper studies the diffusion of multiple related technologies among firms. The results  suggest an endogenous acceleration mechanism for technology adoption: The more advanced a  firm is in using a particular set of technologies, the more likely it is to adopt additional related  technologies. We show that such a mechanism can occur under fairly general circumstances. If  firms are not ex ante identical, the endogenous acceleration mechanism suggests a growing  divergence in the technological endowment of firms in the early phases after the emergence of a  new technological paradigm.   The theoretical predictions are tested with a dataset that records the adoption times of various e-  business technologies in a large sample of firms from 10 different industry sectors and 25  European countries. The results show that the probability of adoption increases with the number  of previously adopted e-business technologies. Evidence for a growing digital divide among the  companies in the sample is demonstrated for the period from 1994-2002.
Creation-Date: 2009-02-03
File-URL: https://repub.eur.nl/pub/11809/ERS-2008-013-ORG.pdf
File-Format: application/pdf
Series: RePEc:ems:eureri
Number: ERS-2008-013-ORG
Classification-JEL: M, M13, O14, O32, O33
Keywords: IT, complementarity, hazard rate model, technological change, technology adoption
Handle: RePEc:ems:eureri:11809