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MNE R&D internationalization in developing Asia

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Abstract

In line with the recent shift of R&D internationalization towards developing Asia, this Perspective paper reviews, contextualises, and evaluates the evolving patterns of creation, transfer, and assimilation of knowledge in multinational enterprises (MNEs). A typology is proposed consisting of four stylized nodes: West (industrialized mature economies), East One (emerging industrializing economies of developing Asia), East Two (Asian economies at an earlier stage of industrialization), and East Three (Asian economies with limited visible signs of industrialization). Within these nodes, this paper applies an institution-based view to discuss their diverse national innovation environment (with particular attention paid to governments, indigenous firms, and institutional conditions), and the network perspective to propose an intra-regional knowledge hierarchy, reflecting dynamic knowledge links.

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Notes

  1. Geographically Japan of course belongs to the East. However, international organizations such as the Group of Seven (G7) and UNCTAD (2005) have included Japan as a developed economy, and Japanese MNEs as “Western.” Therefore, we follow this convention when referring to “Western MNEs,” which for the purposes of this paper would include those from Japan.

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Acknowledgements

We are extremely thankful to APJM Consulting Editor Mike Peng for his very valuable and insightful guidance throughout the development of the paper. We are grateful for the reviewers of Academy of International Business Annual Conference (Copenhagen, 2019) for their useful feedback. An earlier version of the paper won the Best Paper Award at the Annual Conference of Euro-Asia Management Studies Association (EAMSA) (Dornbirn, Austria, October 2019).

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Zhao, S., Papanastassiou, M., Pearce, R.D. et al. MNE R&D internationalization in developing Asia. Asia Pac J Manag 38, 789–813 (2021). https://doi.org/10.1007/s10490-020-09705-1

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