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Analyzing R&D Activities of Foreign Enterprises in Emerging Economies. Lessons from Turkey

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Author Info

  • M. Teoman Pamukçu

    ()
    (TEKPOL, Science and Technology Policy Studies, Middle East Technical University)

  • Erkan Erdil

    ()
    (Department of Economics, Middle East Technical University)

Abstract

Emerging economies have played an important role in the internationalization of R&D activities at least since the 1990s. Turkey, an emerging economy and at same time an accession country to the European Union which signed a Customs Union Agreement with the EU already in 1995, is no exception. In-depth face-to-face semi-structured interviews were conducted with R&D directors of 26 multinational companies operating in Turkey –with headquarters located in France, Germany, Italy, Japan, Switzerlandand USA- in the informatics, automotive, electronics and pharmaceutical industries. Data and qualitative information obtained through these interviews are then used to analyze those factors theory points to as being major determinants of foreign R&D in emerging economies. The emphasis is on the (i) motivations of foreign enterprises for launching new R&D activities or extending existing ones (ii) restrictions of different kind they encounter in doing so (iii) their reactions with respect to FDI promotion policies and public R&D support incentives implemented by Turkish policy makers, and (iv) advantages/disadvantages of Turkish economy as an R&D location in comparison with other emerging economies. A number of policy recommendations for attracting more foreign R&D in Turkey and integrating them with the Turkish national innovation system are advanced.

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File URL: http://www.stps.metu.edu.tr/sites/stps.metu.edu.tr/files/1104_0.pdf
File Function: First version, 2011
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Bibliographic Info

Paper provided by STPS - Science and Technology Policy Studies Center, Middle East Technical University in its series STPS Working Papers with number 1104.

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Length: 44 pages
Date of creation: Apr 2011
Date of revision: Dec 2011
Handle: RePEc:met:stpswp:1104

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Related research

Keywords: Research and development (R&D); internationalization of R&D; R&D offshoring; multinational companies; national innovation systems; case studies; semi-structured interviews;

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  1. Rajneesh Narula & Antonello Zanfei, 2003. "Globalisation of Innovation The Role of Multinational Enterprises," DRUID Working Papers 03-15, DRUID, Copenhagen Business School, Department of Industrial Economics and Strategy/Aalborg University, Department of Business Studies.
  2. Özçelik, Emre & Taymaz, Erol, 2008. "R&D support programs in developing countries: The Turkish experience," Research Policy, Elsevier, vol. 37(2), pages 258-275, March.
  3. von Zedtwitz, Maximilian & Gassmann, Oliver, 2002. "Market versus technology drive in R&D internationalization: four different patterns of managing research and development," Research Policy, Elsevier, vol. 31(4), pages 569-588, May.
  4. Kuemmerle, Walter, 1999. "Foreign direct investment in industrial research in the pharmaceutical and electronics industries--results from a survey of multinational firms," Research Policy, Elsevier, vol. 28(2-3), pages 179-193, March.
  5. Pari Patel & Keith Pavitt, 1991. "Large Firms in the Production of the World’s Technology: An Important Case of “Non-Globalisation”," Journal of International Business Studies, Palgrave Macmillan, vol. 22(1), pages 1-21, March.
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