What Determines the Technological Capabilities of the Agribusiness Sector in Mexico?

Abstract

Technological capabilities are of great importance for the social and economic development of a country, especially in developing countries such as Mexico, and in strategic sectors like agribusiness. Seventy-one companies from the manufacturing sector of the agri-food industry in the Laja-Bajío region are studied in order to analyze the internal factors that encourage the development of technological capabilities. A model is proposed to analyze the variables that influence technological capacity, such as, cultural capital, social capital, information technologies, investment in R&D, age and size. The results show that social capital, investment in R&D, age and size are variables that help explain the level of technological capability. This has implications for academia, business, and the government.