Digital Innovation in East Asia : Do Restrictive Data Policies Matter?

Digital technologies encourage companies to innovate with new processes, goods, and services, which ultimately enhance their competitiveness in local and global markets. This paper analyzes whether a wide set of data restrictions are negatively ass...

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Main Authors: Ferracane, Martina Francesca, van der Marel, Erik
Format: Working Paper
Language:English
Published: World Bank, Washington, DC 2020
Subjects:
Online Access:http://documents.worldbank.org/curated/en/834121580152307973/Digital-Innovation-in-East-Asia-Do-Restrictive-Data-Policies-Matter
http://hdl.handle.net/10986/33260
id okr-10986-33260
recordtype oai_dc
spelling okr-10986-332602022-09-20T00:13:57Z Digital Innovation in East Asia : Do Restrictive Data Policies Matter? Ferracane, Martina Francesca van der Marel, Erik INNOVATION DATA POLICY SOFTWARE TECHNOLOGY TRANSFER RESEARCH AND DEVELOPMENT PATENTS Digital technologies encourage companies to innovate with new processes, goods, and services, which ultimately enhance their competitiveness in local and global markets. This paper analyzes whether a wide set of data restrictions are negatively associated with digital innovation of firms. The paper develops an index of data restrictions that measures the level of data policy restrictiveness for 15 East Asian countries over time. Using various firm-level data sets, the analysis shows that data restrictions inhibit firms' ability to innovate. The analysis takes into account that data restrictions are likely to have a greater impact in sectors that are more reliant on software. Regressions show that in countries that have more restrictive data policies, firms are less likely to use foreign technologies through licensing as part of their innovation process. Country-specific cases for which data are available also show that restrictive data policies are negatively associated with firms' likelihood of using intangible assets, such as patents and goodwill, for performing innovation (in Malaysia and China) and developing innovations as a result of research and development that are new to the market (in Vietnam). The paper concludes that open data policies are likely to foster digital innovation. 2020-01-30T19:51:41Z 2020-01-30T19:51:41Z 2020-01 Working Paper http://documents.worldbank.org/curated/en/834121580152307973/Digital-Innovation-in-East-Asia-Do-Restrictive-Data-Policies-Matter http://hdl.handle.net/10986/33260 English Policy Research Working Paper;No. 9124 CC BY 3.0 IGO http://creativecommons.org/licenses/by/3.0/igo World Bank World Bank, Washington, DC Publications & Research Publications & Research :: Policy Research Working Paper East Asia and Pacific East Asia
repository_type Digital Repository
institution_category Foreign Institution
institution Digital Repositories
building World Bank Open Knowledge Repository
collection World Bank
language English
topic INNOVATION
DATA POLICY
SOFTWARE
TECHNOLOGY TRANSFER
RESEARCH AND DEVELOPMENT
PATENTS
spellingShingle INNOVATION
DATA POLICY
SOFTWARE
TECHNOLOGY TRANSFER
RESEARCH AND DEVELOPMENT
PATENTS
Ferracane, Martina Francesca
van der Marel, Erik
Digital Innovation in East Asia : Do Restrictive Data Policies Matter?
geographic_facet East Asia and Pacific
East Asia
relation Policy Research Working Paper;No. 9124
description Digital technologies encourage companies to innovate with new processes, goods, and services, which ultimately enhance their competitiveness in local and global markets. This paper analyzes whether a wide set of data restrictions are negatively associated with digital innovation of firms. The paper develops an index of data restrictions that measures the level of data policy restrictiveness for 15 East Asian countries over time. Using various firm-level data sets, the analysis shows that data restrictions inhibit firms' ability to innovate. The analysis takes into account that data restrictions are likely to have a greater impact in sectors that are more reliant on software. Regressions show that in countries that have more restrictive data policies, firms are less likely to use foreign technologies through licensing as part of their innovation process. Country-specific cases for which data are available also show that restrictive data policies are negatively associated with firms' likelihood of using intangible assets, such as patents and goodwill, for performing innovation (in Malaysia and China) and developing innovations as a result of research and development that are new to the market (in Vietnam). The paper concludes that open data policies are likely to foster digital innovation.
format Working Paper
author Ferracane, Martina Francesca
van der Marel, Erik
author_facet Ferracane, Martina Francesca
van der Marel, Erik
author_sort Ferracane, Martina Francesca
title Digital Innovation in East Asia : Do Restrictive Data Policies Matter?
title_short Digital Innovation in East Asia : Do Restrictive Data Policies Matter?
title_full Digital Innovation in East Asia : Do Restrictive Data Policies Matter?
title_fullStr Digital Innovation in East Asia : Do Restrictive Data Policies Matter?
title_full_unstemmed Digital Innovation in East Asia : Do Restrictive Data Policies Matter?
title_sort digital innovation in east asia : do restrictive data policies matter?
publisher World Bank, Washington, DC
publishDate 2020
url http://documents.worldbank.org/curated/en/834121580152307973/Digital-Innovation-in-East-Asia-Do-Restrictive-Data-Policies-Matter
http://hdl.handle.net/10986/33260
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