On broader measures of innovation, New Zealand fi rms have higher rates of marketing and product innovation, but relatively lower rates of process and organisational innovation. New Zealand businesses focus their innovation mainly on production for the domestic market rather than international markets, and innovation for international markets is low relative to fi rms in the EU. The share of medium-high and high-tech products in exports is low, and the sophistication of New Zealand’s exports overall is consistent with its per capita income. There is a high proportion of Crown Research Institute (CRI) research funded by business but.
