Manufacturers start spending to get ahead The EEF research found that companies are increasingly turning to universities to help them to develop new ideas. However, the group warned that British companies" spending on product development remains low by international standards. The 1.1pc of GDP spent on research and development is 0.4pc below the OECD average, and further behind leading countries such as the US, South Korea and Sweden. Separate research by accountants Ernst & Young has shown that British exporters are losing out in key emerging markets to competition from countries such as Mexico, Malaysia and Poland. It said exports to emerging markets "aren't growing quickly enough to meet import demand" and that "goods exporters must stop treading water and manoeuvre into the fast lanes to growth." EEF pointed to the increased pick-up of government tax incentives for investment in innovation as evidence that manufacturers are attempting to boost their competitiveness. Uptake of the R&D tax credit by small and medium-sized businesses has grown by 49pc since 2009. Felicity Burch, an economist at EEF, said the investment will "help companies compete in the global race." However, she added: "The UK still has a long way to go, as levels of R&D expenditure lag well behind those of our competitors." Worthing-based loudspeaker manufacturer Bowers & Wilkins is investing in 3D printing technology. As certainty about the market hardens, it's easier to make the decision to [spend]. Mr Edwards says the business, which exports to 60 markets, is having to spend more to keep up with shorter "product life-cycles." Razor sharp ideas A decade ago, Will King manually filled 10,000 bottles of an own-brand shaving oil he had created in his bathroom. Now, his £10m turnover business, King of Shaves, is investing in making its latest razor for its ongoing David-vs-Goliath battle with Gillette. He says there is "no way" banks will entertain the idea of backing high- risk product development such as a new type of razor.