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Integrated Model To Analyze FDI Role In Success of Commercialization of High-Tech Innovations in Asia

Author

Listed:
  • Rahman, Sarli

    (School of Business Pelita Indonesia, Dept of Management)

  • Oh, Andi

    (School of Business Pelita Indonesia, Dept of Management)

Abstract

This study aims to analyze the role of FDI in the success of commercialization high tech innovation in Asia countries. The success was marked by the increasing contribution from Asia countries to the export value of high tech products in the world. From 49 sovereign countries in Asia, 21 countries have been selected as research samples. The result SEM analysis shows that FDI inflows to Asia countries generally pure investment from multinational companies to gain profits from the low cost of production factor in Asia, therefore increase their profit margin. In other words, FDI in Asia countries only increase production quantity of high tech products without increasing innovation activity in the countries, which innovation activity can be measured by R&D expenditure, number of resident patent application and number of scientific journals international publication.

Suggested Citation

  • Rahman, Sarli & Oh, Andi, 2020. "Integrated Model To Analyze FDI Role In Success of Commercialization of High-Tech Innovations in Asia," International Journal of Economics Development Research (IJEDR), Research and Intellectual Development Foundation, vol. 1(1), pages 3-18, January.
  • Handle: RePEc:ris:ijedrr:0001
    as

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    More about this item

    Keywords

    FDI; commercialization of innovation; high tech export; Asia countries;
    All these keywords.

    JEL classification:

    • F13 - International Economics - - Trade - - - Trade Policy; International Trade Organizations
    • O32 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Management of Technological Innovation and R&D
    • O34 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Intellectual Property and Intellectual Capital

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