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Technological Readiness in the Middle East and North Africa – Implications for Egypt

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Abstract

Innovation is widely recognized as a key driver of sustainable economic development. Governments, international organizations, donors and investors are increasingly interested in evaluating the technological capabilities and innovative capacities in developing countries, but often lack appropriate approaches for such measurement. This paper focuses on innovation and technological progress in the MENA region and discusses the challenges of understanding, expanding and fostering innovative potential in Egypt.

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... The society is collectivistic and neither masculine nor feminine. Brach (2010) grouped users in countries in the Middle East and North Africa into the following categories: "consumers," "integrated users," and "isolated users." With reference to the three countries in this study, while "consumers" in the Arab Gulf countries (i.e., the U.A. E., within the context of this research) are open to the latest technologies available globally, "integrated users" (located in Jordan) are significantly less open to them. ...
... This is consistent with the findings of Straub et al. (2001) andLoch et al. (2003). Users in Iraq are seen as "isolated" from countries that are more technologically advanced (Brach, 2010). From the perspective of these users, being more open to technology advancement is important. ...
... The case in the U.A.E. is similar, as young users in the U.A.E. are already open to and exposed to countries that are more advanced. The categorization in Brach's (2010) study of users in the U.A.E. as "consumers" provides further support for and validates this argument. The finding that technological culturation is important in Iraq but not in Jordan or the U.A.E. ...
Article
The main aim of this research is to propose a conceptual model that explains the factors that can predict behavioral intention to use smartphones and the actual use of smartphones by young Arab consumers in three Arab countries: Iraq, Jordan, and the United Arab Emirates (U.A.E.). The findings indicate that the proposed extended model fits well in the three countries. The research provides information that can help policymakers and mobile companies.
... There are abundant natural resources in this region, but production methods and skills necessary for effective and rational use of these resources to improve economic and social conditions is limited. Increasing the level of knowledge and skills of the people is necessary condition for the elimination of economic backwardness and creation of motivation necessary for development (Brach, 2010). Education is one of the areas that can solve the problem in this region. ...
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In a society like Egypt, online political practice is not normatively integrated due to structural and/or technological inefficiencies. By the time this research began in late 2010, less than a quarter (21.1 %) of the Egyptian constituency was online (Egypt: Internet Usage and Telecommunications Report, n.d.). As the Internet’s new communicative affordances have benefitted “those who have crossed the digital divide,” (Bennett, 2003, p. 20) it is expected that the limitations of digital inequalities would reduce the numbers of potential online recipients and possible contributors. This, in turn, excludes the poorer and less-educated, and influences the contributors’ capabilities to support a viable form of influential ‘Internet-based’ activism. So, while the Internet and social media have expanded the toolkit for activists and enabled large numbers to assemble in loose networks with minimal resources, a hybrid ‘repertoire of collective action’ (McAdam, Tarrow, & Tilly, 2001) that fuses the virtual with the real is crucial should they aspire to acquire significant change and yield feasible outcomes for the collective. Social media, Hands (2011) writes, should be articulated as “a new element into the revolutionary process, in which new dynamics and new capacities need to be absorbed and understood.” This was evident in the configuration of the massive uprising of January 2011, which was arguably enabled by the creation of “a complex socio-technical system ….. not only between social media and the more traditional media, but also between mediated and face-to-face networks” (Lim, 2012, p. 244).
... The numbers of studies focused on MENA countries are few. Related to the role that imported intermediates could play in technological diffusion, Brach (2010) assesses the role of technological readiness in the MENA region and the implications for Egypt. The author takes a closer look at the technological progress and innovative activities in the MENA region and within this context investigates the implications for economic development and job creation, as well as the main economic policy recommendations. ...
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This paper is the first to explore the links between exporting and importing activities of Egyptian firms using panel data over the period from 2003 to 2007. The main aim is twofold. Firstly, the authors report regression results indicating that firms that both export and import are the most productive, followed by importing-, exporting-only firms and non-traders. Secondly, they estimate the determinants of the extensive and intensive margins of exports and imports using dynamic panel-Probit and panel-Tobit models in combination with the method proposed by Rabe-Hesketh and Skrondal (Avoiding biased versions of Wooldridge’s simple solution to the initial conditions problem, 2013) to tackle the initial conditions problem. The results show that both activities present a high degree of hysteresis, which is higher for imports than for exports pointing to the existence of sunk costs in both activities. Moreover, past productivity does affect the extensive margin of imports, but not of exports and the initial condition status is also only relevant for the import side. Similar outcomes are obtained for the intensive margin of trade.
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Shifting to new Sources of Growth
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Aubert, J. E. (2004), The Challenge: Changing the Growth Model, in: Aubert, J. E., and J.‐L. Reiffers (eds.), Knowledge Economies in the Middle East and North Africa: To‐ wards New Development Strategies, Washington D. C., 5‐9.
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