The relative importance of home and host innovation systems in the internationalisation of MNE R&D: a patent citation analysis
Rajneesh Narula () and
No 35, Research Memorandum from Maastricht University, Maastricht Economic Research Institute on Innovation and Technology (MERIT)
This paper examines the phenomenon of home base augmenting (HBA) R&D and home base exploiting (HBE) R&D. It has three novelties. First, we argue that any given R&D facility’s capacity to exploit and/or augment technological competences is a function not just of its own resources, but the efficiency with which it can utilise complementary resources associated with the relevant local innovation system. Just as HBA activities require proximity to the economic units (and thus the innovation system) from which they seek to learn, HBE activities draw from the parent’s technological resources as well as from the other assets of home location’s innovation system. Furthermore, we argue that most firms tend to undertake both HBE and HBA activities simultaneously. Second, we use patent citation data from the European Patent Office to quantify the relative HBA vs. HBE character of foreign-located R&D. Third, we do so for European MNEs located in the US, as well as US MNEs located in Europe. Our results indicate that both EU (US) affiliates in the US (EU) rely extensively on home region knowledge sources, although they appear to exploit the host country knowledge base as well. The HBA component of US R&D in Europe in chemicals, electronics and petroleum refining is stronger than their European counterparts, as is the case for European R&D activities in the US in engineering.
Keywords: economics of technology (search for similar items in EconPapers)
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (12) Track citations by RSS feed
Downloads: (external link)
Our link check indicates that this URL is bad, the error code is: 404 Not Found
Working Paper: The relative importance of home and host innovation systems in the internationalisation of MNE R&D: a patent citation analysis (2002)
This item may be available elsewhere in EconPapers: Search for items with the same title.
Export reference: BibTeX
RIS (EndNote, ProCite, RefMan)
Persistent link: https://EconPapers.repec.org/RePEc:unm:umamer:2002035
Access Statistics for this paper
More papers in Research Memorandum from Maastricht University, Maastricht Economic Research Institute on Innovation and Technology (MERIT) Contact information at EDIRC.
Bibliographic data for series maintained by Leonne Portz ().