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Internationalisation of technological innovative capabilities: levels, types and speed (learning rates) in the electronics industry in Malaysia

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  • Norlela Ariffin

Abstract

This paper focuses on the internationalisation of innovative capability; not R&D and patenting capabilities or on production capabilities alone. It examines whether internationalisation of innovative activity has spread to firms in the electronics industry in Malaysia where Malaysia is among the world's largest exporters of semiconductor devices and 96.3% are foreign-owned. Conventional literature states that it has not occurred, as production outpost in countries like Malaysia are not technologically advanced and do not have the conditions in terms of skills and internal capabilities for this to occur. If there is evidence to the contrary, how long did this take? To operationalise key concepts, the paper has developed a comprehensive classification to measure technological capabilities of firms in the electronics industry and learning rates (speed) using the historical timeline of firms. The analysis of TNC subsidiaries and local firms shows that internationalisation of innovative capabilities has occurred to some extent.

Suggested Citation

  • Norlela Ariffin, 2010. "Internationalisation of technological innovative capabilities: levels, types and speed (learning rates) in the electronics industry in Malaysia," International Journal of Technological Learning, Innovation and Development, Inderscience Enterprises Ltd, vol. 3(4), pages 347-391.
    • Handle: RePEc:ids:ijtlid:v:3:y:2010:i:4:p:347-391
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    Citations

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    Cited by:

    1. Szalavetz, Andrea, 2019. "Industry 4.0 and capability development in manufacturing subsidiaries," Technological Forecasting and Social Change, Elsevier, vol. 145(C), pages 384-395.
    2. Dixit Manjunatha Betaraya & Saboohi Nasim & Joy Mukhopadhyay, 2018. "Subsidiary Innovation in a Developing Economy: Towards a Comprehensive Model and Directions for Future Research," FIIB Business Review, , vol. 7(2), pages 109-125, June.
    3. Jim Watson & Rob Byrne & David Ockwell & Michele Stua, 2015. "Lessons from China: building technological capabilities for low carbon technology transfer and development," Climatic Change, Springer, vol. 131(3), pages 387-399, August.
    4. Figueiredo, Paulo N. & Cabral, Bernardo P. & Silva, Felipe Q., 2021. "Intricacies of firm-level innovation performance: An empirical analysis of latecomer process industries," Technovation, Elsevier, vol. 105(C).
    5. Hansen, Ulrich Elmer & Lema, Rasmus, 2019. "The co-evolution of learning mechanisms and technological capabilities: Lessons from energy technologies in emerging economies," Technological Forecasting and Social Change, Elsevier, vol. 140(C), pages 241-257.
    6. Tobias Reinauer & Ulrich Elmer Hansen, 2021. "A conceptual framework for latecomer linkage capabilities [Project execution capability, organizational know-how and conglomerate corporate growth in late industrialization]," Industrial and Corporate Change, Oxford University Press and the Associazione ICC, vol. 30(6), pages 1539-1556.
    7. Figueiredo P.N., 2013. "Beyond technological catch‐up : An empirical investigation of further innovative capability accumulation outcomes in latecomer firms with evidence from Brazil," MERIT Working Papers 2013-048, United Nations University - Maastricht Economic and Social Research Institute on Innovation and Technology (MERIT).
    8. Peerally, Jahan Ara & Santiago, Fernando & De Fuentes, Claudia & Moghavvemi, Sedigheh, 2022. "Towards a firm-level technological capability framework to endorse and actualize the Fourth Industrial Revolution in developing countries," Research Policy, Elsevier, vol. 51(10).
    9. Paulo N. Figueiredo & Janaina Piana, 2021. "Technological learning strategies and technology upgrading intensity in the mining industry: evidence from Brazil," The Journal of Technology Transfer, Springer, vol. 46(3), pages 629-659, June.
    10. Peerally J.A. & Figueiredo P.N., 2013. "Technological capability building in MNE-Related social businesses of less developed countries : the experience of Grameen-Danone foods in Bangladesh," MERIT Working Papers 2013-036, United Nations University - Maastricht Economic and Social Research Institute on Innovation and Technology (MERIT).
    11. Figueiredo, Paulo N. & Larsen, Henrik & Hansen, Ulrich E., 2020. "The role of interactive learning in innovation capability building in multinational subsidiaries: A micro-level study of biotechnology in Brazil," Research Policy, Elsevier, vol. 49(6).

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