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Servicification and Productivity of Manufacturing Enterprises in Cambodia

Servicification and Productivity of Manufacturing Enterprises in Cambodia
31 May 2024
Vutha Hing, Shandre Mugan Thangavelu
Servicification, Services, Productivity, Firm-level Analysis, Manufacturing, Cambodia

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This paper examines the effects of servicification on productivity from the perspectives of service inputs (demand-side) and service outputs (supply-side) for firms in Cambodia. The empirical analysis adopts the firm-level data from the 2014 Inter-censal Economic Survey of Cambodia. The unique data contain a vast array of annual corporate information and allow us to differentiate between the share of service input to total inputs (our first proxy of servicification) and the share of service revenues to total output (another proxy of servicification). The empirical analysis examines the productivity effects of servicification controlling for firm heterogeneity, such as year of operation, foreign ownership, registration, female manager, and skill intensity.

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