Contribution of technology to the productivity of small and medium-sized enterprises in the textile industry in Ecuador

Technology currently has an important role in global business management, and has become a key tool for companies to become more effective, efficient and competitive. This paper studies how the use technology relates to the productivity of small and medium-sized enterprises (SMEs) in the textile industry in Ecuador. This industrial sector has been prioritised in Ecuadorian industry, and the SMEs that are the purpose of this study is within the International Standard Industrial Classification of all Economic Activities (ISIC) C13, "Textile manufacturing'' throughout the country. In order to determine the relationship between technology and productivity, Solow's economic model was applied, using the variables: production, capital, workforce, and technology, which are found in production procedures of these business organisations. The results of the study, in general, show the scope that the previously mentioned variables contribute to the productivity of companies of the textile industry, and in particular, the influence of the use of the technology in the increase or decrease of the productivity. (C) 2017 Asociacion Cuadernos de Economia. Published by Elsevier Espana, S.L.U. All rights reserved.