--- canonical_url: "https://csls.ca/ipm-archive/ipm-issue-40/benchmarking-the-productivity-performance-of-new-zealands-frontier-firms/" title: "Benchmarking the Productivity Performance of New Zealand’s Frontier Firms" author: name: "CSLS" url: "https://csls.ca/author/cslc/" date_published: "2026-07-13T08:01:52+00:00" date_modified: "2026-07-13T08:01:52+00:00" post_type: "ipm" summary: "" ipm_issue_period: - "Spring 2021" ipm_keyword: - "2003-2016" - "Belgium" - "benchmarking" - "CompNet" - "Denmark" - "Finland" - "frontier firms" - "misallocation" - "Netherlands" - "New Zealand" - "productivity" - "Sweden" - "technology diffusion" ipm_research_theme: - "Sectoral and firm-level dynamics" ipm_country_focus: - "Europe" - "International" - "New Zealand" featured_image: "https://csls.ca/wp-content/uploads/2026/06/IPM_50_banner.webp" status: "publish" --- # Benchmarking the Productivity Performance of New Zealand’s Frontier Firms Canonical URL: https://csls.ca/ipm-archive/ipm-issue-40/benchmarking-the-productivity-performance-of-new-zealands-frontier-firms/ # Benchmarking the Productivity Performance of New Zealand’s Frontier Firms [Download full PDF article](https://csls.ca/wp-content/uploads/2026/07/IPM-Issue-40-2-Zheng-Duy-Pacheco.pdf) Cite this article × Cite this article as: Zheng, Guanyu, Hoang Minh Duy, and Gail Pacheco. 2021. “Benchmarking the Productivity Performance of New Zealand’s Frontier Firms.” International Productivity Monitor, No. 40 (Spring 2021): 27–55. https://www.csls.ca/ipm-archive/ipm-issue-40/benchmarking-the-productivity-performance-of-new-zealands-frontier-firms/ ## Authors: - Guanyu Zheng Reserve Bank of New Zealand - Hoang Minh Duy National University of Singapore - Gail Pacheco Auckland University of Technology / NZ Productivity Commission ## IPM Issue 40 Spring 2021 pp. 27–55 ## Related IPM articles [The Relationship between Efficiencies Defenses for Mergers and TFP Growth Robin Shaban Fall 2025 | IPM Issue 49 | pp. 82–102](https://csls.ca/ipm-archive/ipm-issue-49/the-relationship-between-efficiencies-defenses-for-mergers-and-tfp-growth/) [Adult Skills and Productivity: New Evidence from PIAAC 2023 Dan Andrews, Balázs Égert, Christine de La Maisonneuve Fall 2025 | IPM Issue 49 | pp. 41–63](https://csls.ca/ipm-archive/ipm-issue-49/adult-skills-and-productivity-new-evidence-from-piaac-2023/) [The Potential Impact of Pro-competitive Regulatory Reforms on Productivity and Growth in Canada Gilbert Cette, Jimmy Lopez, Giuseppe Nicoletti, Océane Vernerey Fall 2025 | IPM Issue 49 | pp. 3–40](https://csls.ca/ipm-archive/ipm-issue-49/the-potential-impact-of-pro-competitive-regulatory-reforms-on-productivity-and-growth-in-canada/) [Appendix: UK Productivity Growth Rates Across Data Vintages and Studies Josh Martin Spring 2025 | IPM Issue 48 | pp. 65–73](https://csls.ca/ipm-archive/ipm-issue-48/appendix-uk-productivity-growth-rates-across-data-vintages-and-studies/) [Opportunities and Risks of Artificial Intelligence for Productivity Francesco Filippucci, Peter Gal, Katharina Laengle, Matthias Schief, Filiz Unsal Spring 2025 | IPM Issue 48 | pp. 1–26](https://csls.ca/ipm-archive/ipm-issue-48/opportunities-and-risks-of-artificial-intelligence-for-productivity/) [Eroding Natural Capital: An Alternative Explanation for the Secular Decline in Productivity Growth Christina Caron Fall 2024 | IPM Issue 47 | pp. 109–147](https://csls.ca/ipm-archive/ipm-issue-47/eroding-natural-capital-an-alternative-explanation-for-the-secular-decline-in-productivity-growth/) [Using Ecosystem Accounting to Integrate the Environment in Measures of Multifactor Productivity Carl Obst Fall 2024 | IPM Issue 47 | pp. 87–108](https://csls.ca/ipm-archive/ipm-issue-47/using-ecosystem-accounting-to-integrate-the-environment-in-measures-of-multifactor-productivity/) [How Does Industrial Policy Impact Output, Hours and Productivity? The Canadian Experience Tim Sargent Fall 2024 | IPM Issue 47 | pp. 39–53](https://csls.ca/ipm-archive/ipm-issue-47/how-does-industrial-policy-impact-output-hours-and-productivity-the-canadian-experience/) [Climate Change and Productivity — An Exploration Dirk Pilat Fall 2024 | IPM Issue 47 | pp. 54–86](https://csls.ca/ipm-archive/ipm-issue-47/climate-change-and-productivity-an-exploration/) [Could Domestic Industrial Policies, Even With Global Fragmentation, Revive Productivity? Catherine Mann Fall 2024 | IPM Issue 47 | pp. 3–19](https://csls.ca/ipm-archive/ipm-issue-47/could-domestic-industrial-policies-even-with-global-fragmentation-revive-productivity/) ## Abstract ## Résumé EN FR Copy link Email LinkedIn This study compares the relative performance of New Zealand’s firms to several small advanced economies using novel cross-country microdata from CompNet. We present stylised facts for New Zealand relative to Belgium, Denmark, Finland, Netherlands and Sweden based on average productivity levels, as well as benchmarking laggard, median and frontier firms. This research also employs an analytical framework of technology diffusion to evaluate the extent of productivity convergence, and the impact of the productivity frontier on non-frontier firm performance. Results show that New Zealand’s firms have comparatively low productivity levels and that its frontier firms are not benefiting from the diffusion of best technologies outside the nation. Furthermore, there is evidence of labour misallocation in New Zealand based on less labour-productive firms having disproportionally larger employment shares than their more productive counterparts. Cette étude compare la performance relative des entreprises néo-zélandaises à celles de plusieurs petites économies avancées à l’aide de microdonnées transnationales originales de CompNet. Nous présentons des faits stylisés pour la Nouvelle-Zélande par rapport à la Belgique, au Danemark, à la Finlande, aux Pays-Bas et à la Suède sur la base des niveaux de productivité moyens, ainsi qu’un benchmarking des entreprises à la traîne, médianes et de pointe. Cette recherche emploie également un cadre analytique de diffusion technologique pour évaluer l’étendue de la convergence de la productivité et l’impact de la frontière de productivité sur la performance des entreprises non à la pointe. Les résultats montrent que les entreprises néo-zélandaises ont des niveaux de productivité comparativement faibles et que ses entreprises de pointe ne bénéficient pas de la diffusion des meilleures technologies depuis l’étranger. [Download full PDF](https://csls.ca/wp-content/uploads/2026/07/IPM-Issue-40-2-Zheng-Duy-Pacheco.pdf)