scholarly journals Host-Country Market Environment, Intra-Firm Technology Transfer Performance and Corporate Sustainability: A Conceptual Study

2016 ◽  
Vol 11 (4) ◽  
pp. 91
Author(s):  
Syed Ali Fazal ◽  
Sazali Abdul Wahab ◽  
Abu Sofian Bin Yaacob ◽  
Nur Fadiah Mohd Zawawi

<p>Technological innovations have emerged as crucially significant factor for sustaining market competition and achieving sustainable competitive advantage in the 21st century. The Multinational Corporations (MNCs) as celebrities of innovation play significant role in diffusing technological knowledge throughout firms both nationally and internationally. Although numerous studies exist on technology transfer the majority of existing literature addresses the issues related to inter-firm transfer of technology only while the area related to intra-firm transfer of technology has been largely underexposed; study of which is believed to be ideal for fruitful exploration of profitability in technology transfer projects. By exploring the existing relevant literature, the current study would attempt to posit a new model in regards to the effect of host-country market factors on the performance of technology transferred by the MNCs and its subsequent impact on corporate sustainability. In the present study the relative influence of two market environment factors of the host-country, competitive intensity and market dynamism have been focused on and the study is thereby expected to contribute both theoretically in the body of knowledge and also in terms of practical implication for policy makers and MNCs and hence enriching the existing intra-firm literature simultaneously.</p>

2016 ◽  
Vol 12 (9) ◽  
pp. 15 ◽  
Author(s):  
Syed Ali Fazal ◽  
Sazali Abdul Wahab ◽  
Nowshin Zarin ◽  
Abu Sofian Bin Yaacob ◽  
Nur Fadiah Mohd Zawawi

<p>Technological innovations have emerged as crucially significant factor for sustaining market competition and achieving sustainable competitive advantage in the 21st century. The Multinational Corporations (MNCs) as celebrities of innovation play significant role in diffusing technological knowledge throughout firms both nationally and internationally. Although numerous studies exist on technology transfer the majority of existing literature addresses the issues related to inter-firm transfer of technology only while the area related to intra-firm transfer of technology has been largely underexposed; study of which is believed to be ideal for fruitful exploration of profitability in technology transfer projects. By exploring the existing relevant literature, the current study would attempt to posit a new model in regards to the effect of host-country cultural environment on the performance of technology transferred by the MNCs to their subsidiaries in Malaysia and its subsequent impact on the corporate sustainability of the firm. In the present study the relative influence of two cultural environment factors, namely national cultural distance and organizational cultural distance have been addressed and the study is expected to contribute both theoretically in the body of knowledge and also in terms of practical implication for policy makers of the host-country and the involved MNCs and hence enriching the existing intra-firm technology transfer literature simultaneously.</p>


2017 ◽  
Vol 25 (4) ◽  
pp. 328-349
Author(s):  
Syed Ali Fazal ◽  
Abdullah Al Mamun ◽  
Sazali Abdul Wahab ◽  
Muhammad Mohiuddin

Purpose Under the premise of resource-based view (RBV), this study aims to examine the influence of host-country characteristics (i.e. market environment, cultural factors, government policies and absorptive capacity) on improved knowledge acquired by means of intra-firm technology transfer and the latter’s subsequent effect on corporate sustainability among subsidiaries of foreign multinational corporations (MNCs) in Malaysia. Design/methodology/approach The following study adopted a cross-sectional design. Quantitative data were collected through structured interview from the representatives of selected 252 subsidiaries of foreign-based MNCs located in Peninsular Malaysia. Findings The findings of this study revealed that market environment, government policies and absorptive capacity significantly affect the adoption of innovative knowledge, which also has a significant positive effect on corporate sustainability. The findings also revealed a partial mediation of improved knowledge between market environment, government policies and absorptive capacity on corporate sustainability. Research limitations/implications This study recommends that the host country should formulate and adopt trade and FDI friendly policies, as well as stricter intellectual property laws, and, at the same time, provide higher education and training to its citizens to maximize foreign investment and knowledge transfer. Originality/value Apart from highlighting the under-researched issue of organizational sustainability, this study is unique in its approach of connecting the external environment of the host country with the internal knowledge of the firm and corporate sustainability in a single framework. The empirical findings of this study support the hypothesized relationships and thereby extend the scope of the contingency theory and RBV in addition to simultaneously enriching the existing intra-firm knowledge management literature, particularly in the Malaysian context.


2011 ◽  
Vol 179-180 ◽  
pp. 496-500
Author(s):  
Wei He

With technology becoming the key factor for national economic growth, as important way for developing countries to obtain technology, international technology transfer is attached great importance to. This paper makes study on the transmission mechanism of technology spillover, technology transfer and technology gap based on Blomstrom and Nakamura’ models. The results show that the level and pace of technology transfer depends on host-country firms’ independent innovation, technology gap, and technology transfer costs. Operating in the segment market without a direct competition with multinational corporations, implementing the product differentiation strategy combing with local demand and customer-orientation, and creating effective competition environment are the inevitable paths for host-country firms to attract multinational technology transfer.


1978 ◽  
Vol 17 (3) ◽  
pp. 355-364
Author(s):  
Mir Annice Mahmood

Multinational corporations are responsible for much of the technology transfer that occurs between the developed and developing countries. Conse¬quently, these corporations play an important role in economic development by supplying technical skills, managerial know-how and capital. However, this transfer of technology is not a costless process: these corporations remit money in the form of royalties, technical fees, and profits from the less developed countries. For undivided Pakistan, between 1965-1970 payments for royalties and technical fees averaged $102 million per year [2, p. 126]. If other costs, for example, profit repatriation and over-pricing of intermediate inputs, are included the figure would have been much higher. Much of the technology that has been transferred to Pakistan has been on a contractual basis through the subsidiaries of multinational corporations or through joint ventures with domestic Pakistani-owned companies in the agri¬cultural and industrial sectors of the economy. In an earlier study by Radhu [3, pp.361-74] the characteristics of fifty contractual agreements involving technology transfer upto 1969 have been described and analysed. This note examines the contractual agreements from 1970 to 1976. In all, fifty four contracts are examined.1 These agreements cover the manufacturing sector of the Pakistani economy.


2020 ◽  
Vol 15 (2) ◽  
pp. 108-135
Author(s):  
Reinardus Budi Prasetiyo

This legal research aims to analyze the various applicable laws and regulations related to the rules on technology transfer in Indonesia. The legal research method used in this legal research uses normative legal research and uses secondary legal material as a reference for collecting data. This legal research would like to convey the need for regulation of Sui Generis technology transfer which has become an interesting old issue and needs to be discussed. That the rules of technology transfer which are spread in various laws and regulations are felt to be unable to provide legal protection for the host country where developed countries invest and establish their companies. Inability to provide protection is basically no strict sanctions if the country or TNC does not make efforts to transfer technology as mandated by the legislation. This because the provisions regarding transfer technology are an agreement and do not have compelling power for developed countries or transnational companies. Therefore, by doing the preparation of technology transfer sui generis as well as special attention from the government about this condition, it will provide benefits and advantages for the host country to manage the transfer of technology that it obtains


2021 ◽  
Author(s):  
Manuel Guerrero Gaitán

Abstract R&D is one of the most important sources of knowledge and economic growth worldwide, and technology transfer is the principal means to access this knowledge. Nevertheless, market imperfections, externalities, and abusive behaviors have been used by some jurisdictions to justify the enactment of regulations on different contractual categories frequently used to implement this transfer of technology.


1981 ◽  
Vol 25 (2) ◽  
pp. 80-93
Author(s):  
S. K. Date-Bah

The patent system has been claimed to be one of the ways of facilitating the transfer of technology from the industrialised North to the less developed countries of the South. It is by no means the only way in which this can be done. For one thing, not all technology is patented. Also, quite often before a patented process can be successfully worked there is need for the transfer of unpatented know-how along with the technology covered by the patent. Besides, it is not the patent itself which enables the transfer of the technology; rather, by making the title and exclusive rights of the patentee secure, it emboldens him to transfer his technology to others for commercial exploitation. Nevertheless, the patent is an important factor in the technology transfer process. As one United Nations report has put it:


1995 ◽  
Vol 9 (1) ◽  
pp. 56-60 ◽  
Author(s):  
Gilbert Nicolaon

Recent analyses in France and the UK of the role of R&D and technology transfer in the national economy have emphasized different problems but the same conclusion. Both governments recognize that the transfer of technology has to be improved to take full advantage of the national R&D effort. The author assesses the extent of collaboration between the two countries and considers activities of ANVAR, the French National Agency for Innovation, and the British Technology Group to enhance interaction and increase the effective commercialization of innovations.


1993 ◽  
Vol 7 (3) ◽  
pp. 176-181 ◽  
Author(s):  
Charles Leonard

The cost–benefits of academic–industry alliances are examined as well as the mechanisms to achieve maximum benefit to all the participants. Strategies to ensure the effective transfer of technology from universities to enterprises are reviewed and suggestions on how these might be refined and supported are offered. The article also touches on the role of a university trading company which can be pivotal in enhancing and expanding academic–industry links.


2020 ◽  
pp. 116-121
Author(s):  
Kseniia Ivanova

Problem setting. One of the subsystems of the National Innovative System is the field of technology transfer. Considering the NIS from the point of view of the interests pursued by its participants (subjects), the mechanism introduced by the legislator, providing legal regulation of certain social relations, directly depends on what interests they pursue. Analysis of recent researches and publications. The following scientists drew attention to the problems of regulation of relations in the field of technology transfer: O. M. Davydiuk, Yu. M. Kapitsa, D. S. Makhnovsky, V. S. Milash, O. P. Orlyuk, B. M. Paduchak, O. E. Simson. However, further study of these relations remains relevant especially in view of the constant updating of current legislation. Target of research is to analyze the mechanisms for satisfying the interests of participants (subjects) of technology transfer, which are introduced in the current legislation and are proposed for the future. Article’s main body. Considering the national innovative system from the point of view of the interests pursued by its participants (subjects), we can distinguish the interests of the author of the technology, recipient, technology donor and the state, whose interests determine the overall vector of the transfer process. The primary subject in technology transfer is the author of the technology – an individual who can act as a direct participant (subject) of technology transfer and be its donor, who independently decides the legal fate of the technology and / or its components. However, the author of the technology may not be a donor when it comes to the relationship between him and his employer as a performer of scientific research and development work for the budget. In this case, although the technology is created by the direct work of the author-employee, property rights to the technology are assigned to the enterprise, research institution, organization or institution of higher education as the executor of these works (organization-developer), and the author is entitled to royalties. Thus, a compromise is reached between the parties and provides the necessary balance of interests of the employer and the author. In the transfer of technology, which occurs through the conclusion of the contract, the interests of the parties to the contract are mutually conditioned. These entities, realizing their property interests, act in contractual relations on the principle of dispositiveness, ie equality of the parties, and the state does not interfere in these relations. And only when the sphere of interests of the subjects of transfer affects the interests of the state, the relationship is complicated by the establishment of additional requirements and / or procedures (in particular, the export of technologies created or purchased from the budget). The interest of the state in this case is due to the purpose of preserving national and technological security, control over the misuse of budget funds during the financing of R & D, solving other strategic tasks. The protective mechanism of legal support of the state’s interests introduced in the Law is implemented through the establishment of requirements for the use of technology and / or their components, created or purchased for budget funds, mainly on the territory of Ukraine; conducting state expertise for technologies and / or their components, which are purchased for budget funds (including through their import). Meanwhile, the world practice is aware of other means aimed at protecting the interests of the state, such as control over the re-export of technology in order to eliminate the possibility of further transfer of technology from its donor to others. Conclusions and prospects for the development. The field of technology transfer is characterized by a combination of imperative and dispositive methods of legal regulation. When concluding a technology transfer agreement, the parties agree on its terms, based on their own interests and the requirements for certain types of agreements. However, lawyers note: the wider the range of interests (individual, group), which are directly or indirectly affected by the contract, the more important should be the degree of legal regulation. Therefore, when it comes to the interests of the state, the legislator should not neglect the ability to imperatively determine the requirements to be met by the parties in technology transfer and which provide for the implementation of additional incentives for the introduction of domestic technologies into circulation, their practical application in production.


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