Business Dynamism in High Tech
Contents
Defining "high tech"
High tech: a high-tech industry is defined by the presence of four factors: a high proportion of scientists, engineers, and technicians; a high proportion of R&D employment; production of high-tech products, as specified on a Census Bureau list of advanced-technology products; and the use of high-tech production methods, including intense use of high-tech capital goods and services in the production process Kauffman
A Congressional Office of Technology Assessment document describes high-technology firms as those “engaged in the design, development, and introduction of new products and/or innovative manufacturing processes through the systematic application of scientific and technical knowledge.”
National Science Foundation report on science and technology resources also refers to the employment of scientists, engineers, and technicians and to measures of R&D activities as “two of the most important parameters of innovation” and uses those two parameters “as surrogates for measuring the broader concept of innovation.”
Which of these is best definition?
High tech and firm birth/death
Kauffman study found that decline in business dynamism occurred in both the general U.S. economy and the high-tech sector in the post-2000 period. As part of this decline in dynamism, Kauffman found indicators of a slowdown in entrepreneurship in the high-tech sector in the post-2000 period.
Article
Target Audience
- Geared towards Rice Thresher, Houston Chronicle? Layman who has an interest in the intersection of technology and business.
Intro
How would you define "high tech"? You might think of Silicon Valley, your phone or laptop, a new medical device -- but overall, it's hard to pin down a concrete definition. Taken one step further, how would you define a "high tech firm"? In other words, what are the characteristics of companies like Amazon and Apple that we can generalize to form a universal definition of a "high tech firm"?
The Kauffman Institute defines a high-tech industry by the presence of four factors: a high proportion of scientists, engineers, and technicians; a high proportion of R&D employment; production of high-tech products, as specified on a Census Bureau list of advanced-technology products; and the use of high-tech production methods, including intense use of high-tech capital goods and services in the production process.
