Innovation in Multinational Firms and the Role of Geography

Alessandra Perri
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Alessandra Perri: Universita’ Ca’ Foscari Venezia

Chapter 1 in Innovation and the Multinational Firm: Perspectives on Foreign Subsidiaries and Host Locations, 2015, pp 9-33 from Palgrave Macmillan

Abstract: Abstract Chapter 1 discusses the interrelations between innovation and the MNC, reviews selected models of innovation in MNCs and analyzes the role geography plays in shaping the patterns of knowledge diffusion. Building on previous research, it suggests that the development of technological capabilities and the international expansion are mutual-reinforcing strategic paths. Moreover, despite recent views proposing that geography is becoming increasingly irrelevant, it contends that geographical proximity still plays a powerful role in determining economic activities and, more specifically, in influencing MNCs’ management of internal and external innovation networks. Using OECD data, it concludes by offering some insights into recent trends of R&D internationalization.

Keywords: co-location; proximity; R&D internationalization; tacit knowledge (search for similar items in EconPapers)
Date: 2015
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Persistent link: https://EconPapers.repec.org/RePEc:pal:palchp:978-1-137-55544-1_2

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DOI: 10.1057/9781137555441_2

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