Definition and Issues at Stake
The Organisation for Economic Co-operation and Development (OECD) classifies a high-technology industry as one in which the level of research and development (R&D) intensity (a measure of the proportion of annual turnover invested in R&D) is greater than 5 %. By contrast, low-tech firms have an R&D intensity of less than 3 %, while mid-tech firms have an R&D intensity of between 3 and 5 % (Bender et al. 2005; Hirsch-Kreinsen et al. 2008). A large proportion of industries are low to mid tech, including motor vehicle manufacturing, pharmaceuticals, aerospace and electronics industries, food processing, printing, furniture manufacturing, household appliances, and plastics (Hirsch-Kreinsen et al. 2006). The vast majority of small firms all around the world are active in low- to mid-tech industries.
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Reboud, S., Tim, M. (2013). Low-Tech Entrepreneurship. In: Carayannis, E.G. (eds) Encyclopedia of Creativity, Invention, Innovation and Entrepreneurship. Springer, New York, NY. https://doi.org/10.1007/978-1-4614-3858-8_495
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