Knowledge spillovers and the assignment of R&D responsibilities to foreign subsidiaries

Susan Feinberg and Anil K. Gupta

Strategic Management Journal, 2004, vol. 25, issue 8‐9, 823-845

Abstract: Research on R&D location choice by MNCs has focused largely on host country factor endowments and overlooked the role that the potential to capture and utilize knowledge spillovers from competitors may also play in determining such choices. Using a large‐scale panel database of the foreign subsidiaries of U.S.‐based MNCs in above‐average R&D‐intensive industries, we examine the extent to which external spillover opportunities as well as internal firm‐specific capabilities to utilize such knowledge affect MNCs' new R&D location decisions. Our findings suggest that MNCs appear to anticipate potential spillover opportunities and are discriminating in assessing these opportunities not only across locations but also across categories of competitors within the same location. Further, our findings provide stronger support to predictions regarding the salience of global utilization capacity than they do to predictions regarding the salience of local utilization capacity. Copyright © 2004 John Wiley & Sons, Ltd.

Date: 2004
References: Add references at CitEc
Citations: View citations in EconPapers (104)

Downloads: (external link)
https://doi.org/10.1002/smj.396

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:bla:stratm:v:25:y:2004:i:8-9:p:823-845

Ordering information: This journal article can be ordered from
http://www.blackwell ... bs.asp?ref=0143-2095

Access Statistics for this article

More articles in Strategic Management Journal from Wiley Blackwell
Bibliographic data for series maintained by Wiley Content Delivery ().