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Government Strategies to Attract R&D-Intensive FDI

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  • José Guimón

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    (Universidad Complutense de Madrid, Instituto Complutense de Estudios Internacionales (ICEI))

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    Abstract

    Competition among countries and regions to attract the R&D activities of multinational enterprises has increased substantially during the last years, but the strategies used by governments in this competition remain largely unexplored. This paper proposes a taxonomy of the main policy instruments available to stimulate inward R&D-intensive FDI and presents the results of a comparative case-study of two European countries: Spain and Ireland. The main conclusion is that an efficient promotion of R&D-intensive FDI calls for a closer coordination between innovation policy and inward investment promotion, which are two policy areas that have traditionally operated rather independently from each other. In addition, inward investment agencies targeting R&D-intensive FDI are advised to reconfigure the scope of services they provide by placing more emphasis on after-care, since R&D-intensive FDI tends to be evolutionary rather than greenfield.

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    Bibliographic Info

    Paper provided by Universidad Complutense de Madrid, Instituto Complutense de Estudios Internacionales in its series Policy Papers del Instituto Complutense de Estudios Internacionales with number 03-07.

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    Length: 26 pages
    Date of creation: 2007
    Date of revision:
    Handle: RePEc:ucm:ppaper:03-07

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    Postal: Instituto Complutense de Estudios Internacionales. Finca Mas Ferre Campus de Somosaguas 28223 Madrid

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    Keywords: R&D; FDI; multinational enterprises; I+D; IED; empresas multinacionales.;

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