German Technology Policy: Incentive for Industrial Innovation

The Crisis of Labour Relations in Germany

“…The high wage, high skill and relatively low wage disparity which are modern features of the model aimed at diversified quality production are also considered less useful in a world market more inclined to price rather than quality sensitivity. Burton and Hansen (1993) also point out an historical weakness of the model of a tendency to respond relatively slowly in international comparative terms to newer technologies. Herrigel (1994) cites the machine tools industry as a prominent example whereby CAD Design technology was introduced much later into the West German sector than in Japan or the USA, largely because of 'jurisdictional battles'.…”

The role of regulations in the diffusion of environment technologies: micro and macro issues

“…An alternative model is related to density dependence that considers diffusion as the result of legitimation and competition. Besides these models, recent studies increasingly highlight the absorption differences arising from the institutional variables such as regulations and science policy (Hultberg et al, 1999;Burton and Hansen, 1993). Like any new technologies, the diffusion of environment technologies is also under the influence of many factors, ranging from firm-based reasons to institutional ones, particularly regulations (Porter and Linde, 1995).…”

“…Through universities, public institutions, and the help of voluntary organizations, government can train a firm's management on issues regarding technology transfer and technology applications. The success of Germany in terms of diffusion of environment technologies can be attributed to the creation of institutions that spread innovation widely throughout economy, particularly to the appropriate technology users (Burton and Hansen, 1993). As a result, industry's efficiency is increased and the cost of accessing and utilizing information is reduced.…”