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Next to Production or to Technological Clusters? The Economics and Management of R&D Location

  • Myriam Mariani

    ()

This paper examines the relationshipbetween the location of R&D and productionactivities. By using a sample of 799 Japaneseinvestments in Europe, it distinguishes betweenaffiliates performing only R&D, bothR&D and production, and productiononly. The analysis produces two main results.First, R&D tends to locate close to productionactivities. Interestingly, however, the higherthe science-intensity of a sector, the lessimportant is the linkage with production. Thisis interpreted as the effect produced by moregeneral and transferable scientific work,compared to applied work. Second, by performinga multinomial logit analysis, we show that R&Dactivities, independent or linked toproduction, are attracted by different localfactors. Specifically, geographical proximityto the local science base is an importantfactor for locating only R&Dlaboratories compared to R&D andproduction, and production only. Firmand sector-specific characteristics also affectthe probability of setting up an independentR&D affiliate. Copyright Kluwer Academic Publishers 2002

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File URL: http://hdl.handle.net/10.1023/A:1015702522373
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Article provided by Springer in its journal Journal of Management and Governance.

Volume (Year): 6 (2002)
Issue (Month): 2 (May)
Pages: 131-152

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Handle: RePEc:kap:jmgtgv:v:6:y:2002:i:2:p:131-152
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  1. Griliches, Zvi, 1990. "Patent Statistics as Economic Indicators: A Survey," Journal of Economic Literature, American Economic Association, vol. 28(4), pages 1661-1707, December.
  2. Howells, Jeremy, 1990. "The location and organisation of research and development: New horizons," Research Policy, Elsevier, vol. 19(2), pages 133-146, April.
  3. Antonio Ciccone & Robert E. Hall, 1995. "Productivity and the density of economic activity," Economics Working Papers 120, Department of Economics and Business, Universitat Pompeu Fabra.
  4. Bresnahan, Timothy F. & Trajtenberg, M., 1995. "General purpose technologies 'Engines of growth'?," Journal of Econometrics, Elsevier, vol. 65(1), pages 83-108, January.
  5. Adam B. Jaffe & Manuel Trajtenberg & Rebecca Henderson, 1992. "Geographic Localization of Knowledge Spillovers as Evidenced by Patent Citations," NBER Working Papers 3993, National Bureau of Economic Research, Inc.
  6. Eric von Hippel, 1994. ""Sticky Information" and the Locus of Problem Solving: Implications for Innovation," Management Science, INFORMS, vol. 40(4), pages 429-439, April.
  7. Naomi R. Lamoreaux & Kenneth L. Sokoloff, 1997. "Location and Technological Change in the American Glass Industry During the Late Nineteenth and Early Twentieth Centuries," NBER Working Papers 5938, National Bureau of Economic Research, Inc.
  8. Archibugi, Daniele & Michie, Jonathan, 1995. "The Globalisation of Technology: A New Taxonomy," Cambridge Journal of Economics, Oxford University Press, vol. 19(1), pages 121-40, February.
  9. repec:fth:harver:1473 is not listed on IDEAS
  10. repec:ner:tilbur:urn:nbn:nl:ui:12-175778 is not listed on IDEAS
  11. Jaffe, Adam B, 1989. "Real Effects of Academic Research," American Economic Review, American Economic Association, vol. 79(5), pages 957-70, December.
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