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Managing FDI technology spillovers: A challenge to TNCs in emerging markets

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  • Tian, Xiaowen

Abstract

Prior studies on foreign direct investment (FDI) technology spillovers have offered little guidance to transnational corporations (TNCs) on how to protect and exploit technology across borders. The present paper argues that TNCs can manage technology spillovers through selection of entry modes, selection of technologies, and selection of investment priorities in the affiliates they establish in foreign markets. A number of hypotheses are derived from theoretical analyses and are tested against firm-level data from China. The findings of the paper have significant implications for TNCs that face fierce competition from local firms in emerging markets.

Suggested Citation

  • Tian, Xiaowen, 2010. "Managing FDI technology spillovers: A challenge to TNCs in emerging markets," Journal of World Business, Elsevier, vol. 45(3), pages 276-284, July.
  • Handle: RePEc:eee:worbus:v:45:y:2010:i:3:p:276-284
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    References listed on IDEAS

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    Cited by:

    1. Andersson, Ulf & Dasí, Àngels & Mudambi, Ram & Pedersen, Torben, 2016. "Technology, innovation and knowledge: The importance of ideas and international connectivity," Journal of World Business, Elsevier, vol. 51(1), pages 153-162.
    2. repec:spr:manint:v:54:y:2014:i:2:d:10.1007_s11575-013-0195-y is not listed on IDEAS
    3. Li, Dan & Miller, Stewart R. & Eden, Lorraine & Hitt, Michael A., 2012. "The Impact of Rule of Law on Market Value Creation for Local Alliance Partners in BRIC Countries," Journal of International Management, Elsevier, vol. 18(4), pages 305-321.
    4. Tian, Xiaowen & Slocum, John W., 2014. "What determines MNC subsidiary performance? Evidence from China," Journal of World Business, Elsevier, vol. 49(3), pages 421-430.

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