TECHNOLOGY STRATEGY OF R&D INTERNATIONALIZATION: AN EMPIRICAL STUDY FROM A DEVELOPING COUNTRY

Louis Y. Y. Lu and T. M. Chen
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Louis Y. Y. Lu: Department of Business Administration, Yuan-Ze University, 135, Yuan-Tung Road, Chung-Li, Taoyuan 320, Taiwan
T. M. Chen: Graduate School of Management, Yuan-Ze University, 135, Yuan-Tung Road, Chung-Li, Taoyuan 320, Taiwan

Chapter 4 in Creating and Managing a Technology Economy, 2010, pp 81-107 from World Scientific Publishing Co. Pte. Ltd.

Abstract: AbstractWorld Investment Report 2005 from UNCTAD reveals that “a new trend … is the emergence and fast growth of foreign R&D activities by TNCs (Transnational Corporations) from developing countries”. Numbers of studies have examined several issues of foreign direct R&D investments. Unfortunately, literature in this area has mainly contributed to the knowledge of R&D internationalization of the developed countries. There are only a few studies that have investigated R&D internationalization from the developing countries. Moreover, discussions on paths and technology strategies of overseas R&D establishments over time are still less emphasized.We examine how Taiwanese firms establish their overseas R&D centers and connect with the global innovation networks over time by conducting both surveys and in-depth interviews. We find four patterns of technology strategy of R&D internationalization for Taiwanese firms, including the technology-seeking strategy, the technology-exploiting strategy, the technology-harvesting strategy, and the technology-transforming strategy. Most firms present a technology-exploiting strategy, and few belong to a technology-transforming strategy. Moreover, evidence indicates that the most attractive destinations for overseas R&D centers have been shifting from the triad economies into the emerging economies (China, India and Russia).

Keywords: Management and Technology; Innovation Processes; Knowledge Management; Cross-Border Collaboration; Interdisciplinary Collaboration; Indicators for Measuring Innovation; Business in High-Tech Industry; Sustainability; Social Aspects of Technology Management (search for similar items in EconPapers)
Date: 2010
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