Thinking locally: Exploring the importance of a subsidiary-centered model of FDI-related spillovers in Brazil
AbstractThis paper investigates FDI-related spillovers in Brazil for the period 1996-2005. In contrast to most previous recent studies, which have failed to identify any significant effects in emerging economies, we found that horizontal spillovers did arise in Brazil. However, they did not arise simply as a consequence of general FDI-mediated technology transfer from MNC headquarters, as the standard approach presumes. Nor were they associated with expected inter-industry differences in technological intensity, or with differences in domestic firms’ absorptive capability. Instead, spillovers were associated with the existence of particular kinds of localized knowledge-creation activities undertaken by subsidiaries. We discuss the theory and policy implications that emerge from these results.
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Bibliographic InfoPaper provided by United Nations University, Maastricht Economic and social Research and training centre on Innovation and Technology in its series UNU-MERIT Working Paper Series with number 008.
Date of creation: 2009
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FDI spillovers; subsidiaries; heterogeneity; localized innovation; Brazil; productivity; innovation;
Other versions of this item:
- Anabel Marin & Ionara Costa, 2010. "Thinking locally: exploring the importance of a subsidiary-centred model of FDI-related spillovers in Brazil," International Journal of Technological Learning, Innovation and Development, Inderscience Enterprises Ltd, vol. 3(1), pages 87-107.
- O31 - Economic Development, Technological Change, and Growth - - Technological Change; Research and Development; Intellectual Property Rights - - - Innovation and Invention: Processes and Incentives
- O47 - Economic Development, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - Measurement of Economic Growth; Aggregate Productivity; Cross-Country Output Convergence
- O16 - Economic Development, Technological Change, and Growth - - Economic Development - - - Financial Markets; Saving and Capital Investment; Corporate Finance and Governance
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