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Returnee entrepreneurs, knowledge spillovers and innovation in high-tech firms in emerging economies

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Author Info

  • Xiaohui Liu

    (Loughborough University Business School, UK)

  • Jiangyong Lu

    (Guanghua School of Management, Peking University, Beijing, China)

  • Igor Filatotchev

    (Sir John Cass Business School, City University London, London, UK)

  • Trevor Buck

    (Loughborough University Business School, UK)

  • Mike Wright

    (Centre for Management Buy-out Research, Nottingham University Business School, Nottingham, UK)

Abstract

Using panel data analysis, this paper investigates the impact of returnee entrepreneurs, foreign direct investment (FDI) intensity and inter-firm employee mobility on innovation in Chinese high-tech firms. International technology spillovers and internal R&D efforts are found to jointly determine the innovation performance of Chinese high-tech firms, and we report that the presence of returnee entrepreneurs positively affects innovation. In addition, there are significant knowledge spillover effects associated with returnees and multinational enterprise (MNE) employee mobility, and the effects of these two components of international human mobility on local firms' innovation are mutually reinforcing. We also present the distinctive result that FDI intensity in an industry has a negative impact on local innovation. The findings have important implications for practitioners and policymakers.

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Bibliographic Info

Article provided by Palgrave Macmillan in its journal Journal of International Business Studies.

Volume (Year): 41 (2010)
Issue (Month): 7 (September)
Pages: 1183-1197

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Handle: RePEc:pal:jintbs:v:41:y:2010:i:7:p:1183-1197

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Citations

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Cited by:
  1. Xiaohua Lin & Shaw Tao, 2012. "Transnational entrepreneurs: Characteristics, drivers, and success factors," Journal of International Entrepreneurship, Springer, vol. 10(1), pages 50-69, March.
  2. Stanko, Michael A. & Olleros, Xavier, 2013. "Industry growth and the knowledge spillover regime: Does outsourcing harm innovativeness but help profit?," Journal of Business Research, Elsevier, vol. 66(10), pages 2007-2016.
  3. Siping Luo & Mary E. Lovely & David Popp, 2013. "Intellectual Returnees as Drivers of Indigenous Innovation: Evidence from the Chinese Photovoltaic Industry," NBER Working Papers 19518, National Bureau of Economic Research, Inc.
  4. Lu, Jiangyong & Liu, Xiaohui & Filatotchev, Igor & Wright, Mike, 2014. "The impact of domestic diversification and top management teams on the international diversification of Chinese firms," International Business Review, Elsevier, vol. 23(2), pages 455-467.
  5. Liu, Xiaohui & Lu, Jiangyong & Chizema, Amon, 2014. "Top executive compensation, regional institutions and Chinese OFDI," Journal of World Business, Elsevier, vol. 49(1), pages 143-155.

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