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Drivers and policies for increasing and internationalising R&D activities of EU MNEs

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Abstract

Based on an original and recent sample representative of the largest R&D corporations in the EU, this paper aims at investigating in a quantitative way the main factors explaining: (i) the decision of firms to increase their R&D investment effort in the near future; (ii) the main drivers explaining the favourite international location choice for R&D; and (iii) the impact of direct and indirect policies to support R&D activities in the EU. The main findings suggest that competitive pressures from the US are the main determinants for increasing R&D investments. Public support to R&D and proximity to other activities of the company influence the decision to locate R&D in the home country. Considerations on the cost of employing researchers become one factor among others only for firms preferring a location outside their home country, in particular in the rest of the world (countries other than the EU or the US).

Suggested Citation

  • Michele Cincera & Claudio Cozza & Alexander Tübke, 2010. "Drivers and policies for increasing and internationalising R&D activities of EU MNEs," JRC Working Papers on Corporate R&D and Innovation 2010-02, Joint Research Centre.
  • Handle: RePEc:ipt:wpaper:201002
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    File URL: https://publications.jrc.ec.europa.eu/repository/handle/JRC54820
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    Citations

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    Cited by:

    1. Pietro Moncada-Paterno-Castello & Peter Voigt & Marco Vivarelli, 2011. "Evolution of Globalised business R&D: Features, drivers, impacts," JRC Working Papers on Corporate R&D and Innovation 2011-02, Joint Research Centre.
    2. Michele Cincera & Julien Ravet, 2014. "Globalisation, industrial diversification and productivity growth in large European R&D companies," Journal of Productivity Analysis, Springer, vol. 41(2), pages 227-246, April.
    3. Martin Falk, 2013. "New Empirical Findings for International Investment in Intangible Assets. WWWforEurope Working Paper No. 30," WIFO Studies, WIFO, number 46891, June.
    4. Martin Falk, 2016. "Austria 2025 – Corporate Investment in Austria. Stylised Facts, Impacts, Determinants and Investment Policies," WIFO Studies, WIFO, number 59183, February.

    More about this item

    Keywords

    Drivers of R&D internationalisation; R&D policies; EU large R&D corporations;
    All these keywords.

    JEL classification:

    • F23 - International Economics - - International Factor Movements and International Business - - - Multinational Firms; International Business
    • O32 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Management of Technological Innovation and R&D

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