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R&D co-practice and ‘reverse’ knowledge integration in multinational firms

Author

Listed:
  • Tony S Frost

    (Richard Ivey School of Business, University of Western Ontario, London, Canada)

  • Changhui Zhou

    (Guanghua School of Management, Peking University, Beijing, China)

Abstract

This paper contributes to the developing literature on the management of distributed innovation in multinational firms. We focus on a specific organizational mechanism, R&D co-practice, which we believe is an important facilitator of knowledge integration in multinationals with global innovation strategies. In our formulation, R&D co-practice (joint technical activities between units) increases levels of absorptive capacity and social capital among participating units, thus increasing the likelihood that they will share knowledge at future time periods. We find strong support for this hypothesis through an empirical analysis of ‘reverse’ (subsidiary to headquarters) knowledge integration in two sectors – automotive and pharmaceuticals – over a 21-year period. Journal of International Business Studies (2005) 36, 676–687. doi:10.1057/palgrave.jibs.8400168

Suggested Citation

  • Tony S Frost & Changhui Zhou, 2005. "R&D co-practice and ‘reverse’ knowledge integration in multinational firms," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 36(6), pages 676-687, November.
  • Handle: RePEc:pal:jintbs:v:36:y:2005:i:6:p:676-687
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    Citations

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    Cited by:

    1. Blomkvist, Katarina & Kappen, Philip & Zander, Ivo, 2017. "Gone are the creatures of yesteryear? On the diffusion of technological capabilities in the ‘modern’ MNC," Journal of World Business, Elsevier, vol. 52(1), pages 1-16.
    2. René Belderbos & Boris Lokshin & Bert Sadowski, 2015. "The returns to foreign R&D," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 46(4), pages 491-504, May.
    3. Stek, Pieter E. & van Geenhuizen, Marina S., 2016. "The influence of international research interaction on national innovation performance: A bibliometric approach," Technological Forecasting and Social Change, Elsevier, vol. 110(C), pages 61-70.
    4. repec:spr:manint:v:55:y:2015:i:2:d:10.1007_s11575-015-0242-y is not listed on IDEAS
    5. Alnuaimi, Tufool & Opsahl, Tore & George, Gerard, 2012. "Innovating in the periphery: The impact of local and foreign inventor mobility on the value of Indian patents," Research Policy, Elsevier, vol. 41(9), pages 1534-1543.
    6. Borini, Felipe Mendes & de Miranda Oliveira, Moacir & Silveira, Franciane Freitas & de Oliveira Concer, Ronald, 2012. "The reverse transfer of innovation of foreign subsidiaries of Brazilian multinationals," European Management Journal, Elsevier, vol. 30(3), pages 219-231.
    7. Singh, Jasjit, 2008. "Distributed R&D, cross-regional knowledge integration and quality of innovative output," Research Policy, Elsevier, vol. 37(1), pages 77-96, February.
    8. repec:eee:intman:v:24:y:2018:i:2:p:137-152 is not listed on IDEAS
    9. Song, Jaeyong & Asakawa, Kazuhiro & Chu, Youngeun, 2011. "What determines knowledge sourcing from host locations of overseas R&D operations?: A study of global R&D activities of Japanese multinationals," Research Policy, Elsevier, vol. 40(3), pages 380-390, April.
    10. repec:eee:iburev:v:26:y:2017:i:5:p:896-907 is not listed on IDEAS
    11. McGuinness, Martina & Demirbag, Mehmet & Bandara, Sasanka, 2013. "Towards a multi-perspective model of reverse knowledge transfer in multinational enterprises: A case study of Coats plc," European Management Journal, Elsevier, vol. 31(2), pages 179-195.
    12. Thomas J. Hannigan & Alessandra Perri & Vittoria Giada Scalera, 2016. "The Dispersed Multinational: Does Connectedness Across Spatial Dimensions Lead to Broader Technological Search?," Working Papers 11, Department of Management, Università Ca' Foscari Venezia.
    13. repec:bla:stratm:v:38:y:2017:i:11:p:2298-2309 is not listed on IDEAS
    14. Liu, C.-L.E., 2012. "An investigation of relationship learning in cross-border buyer–supplier relationships: The role of trust," International Business Review, Elsevier, vol. 21(3), pages 311-327.
    15. repec:eee:touman:v:61:y:2017:i:c:p:451-464 is not listed on IDEAS
    16. Bergek, Anna & Bruzelius, Maria, 2010. "Are patents with multiple inventors from different countries a good indicator of international R&D collaboration? The case of ABB," Research Policy, Elsevier, vol. 39(10), pages 1321-1334, December.
    17. repec:eee:worbus:v:53:y:2018:i:4:p:415-432 is not listed on IDEAS
    18. repec:bla:jomstd:v:54:y:2017:i:8:p:1121-1143 is not listed on IDEAS
    19. Riviere, Monica & Suder, Gabriele, 2016. "Perspectives on strategic internationalization: Developing capabilities for renewal," International Business Review, Elsevier, vol. 25(4), pages 847-858.
    20. repec:eee:iburev:v:27:y:2018:i:3:p:514-527 is not listed on IDEAS

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