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Intellectual Property Protection, Market Orientation and Location of Overseas R&D Activities by Multinational Enterprises

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  • Kumar, Nagesh

    (United Nations University, Institute for New Technologies)

Abstract

This paper develops an analytical framework to explain the determinants of location of overseas R&D by MNEs in terms of the nature and extent of FDI and host country resources and policy regimes. Empirical findings for U.S. MNEs suggest that MNEs prefer to locate their R&D activities in countries that are able to offer them, among other particulars, larger markets, technological resources and infrastructure. Host market-oriented affiliates are more likely to have R&D units than the export-oriented ones, especially in developing countries. The relative strength of patent regime appears to affect the direction rather than the magnitude of R&D investments made in a country.

Suggested Citation

  • Kumar, Nagesh, 1995. "Intellectual Property Protection, Market Orientation and Location of Overseas R&D Activities by Multinational Enterprises," UNU-INTECH Discussion Paper Series 1995-01, United Nations University - INTECH.
    • Handle: RePEc:unm:unuint:199501
    as

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    References listed on IDEAS

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