Attraction and deterrence in the location of foreign-owned R&D activities: the role of positive and negative spillovers
This paper examines how the characteristics of local contexts affect the location of foreign-owned R&D activities, in terms of positive (i.e. attraction) and/or negative (i.e. deterrence) spillovers. It distinguishes between activities that are Competence-Creating (CC) (that create new lines of technology for the MNC group) and Competence-Exploiting (CE) (adapt established lines of technology). The empirical investigation uses patents granted in the USA to the world's largest industrial firms for inventions achieved in their European-located operations, classified by the host region in which the research facility responsible is located, over the period 1969â€“1995. The results show that positive spillovers stem from a high degree of local interindustry diversity, as well as from the presence of a local variety of other actors in the same industry, at least when they are foreign-owned. In contrast, the presence of domestically-owned dominant firms in the same industry tends to act as a deterrent.
If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
As the access to this document is restricted, you may want to look for a different version under "Related research" (further below) or search for a different version of it.
Volume (Year): 1 (2007)
Issue (Month): 1 ()
|Contact details of provider:|| Web page: http://www.inderscience.com/browse/index.php?journalID=240|