The Impact of Different Internet Application Contexts on Knowledge Transfer between Enterprises

This paper investigates the effect of different Internet application scenarios on the forward and reverse knowledge transfer between architecture enterprises and component enterprises in the context of modular production in manufacturing enterprises. After dividing the Internet contexts into three the perspectives of Internet tools, Internet platforms, and Internet resources, this paper adopts a system dynamics approach to construct a causality model and a system flow diagram of the influence of different Internet contexts on the knowledge transfer between architecture enterprises and component enterprises, and uses Vensim PLE software to simulate and conduct a sensitivity analysis of the model. The results show that the three Internet contexts, namely Internet tools, Internet platforms, and Internet resources, can promote both positive and negative knowledge transfer between architecture enterprises and component enterprises, and exhibit a steadily growing trend of promotion; Internet tools and Internet resources are more conducive to positive knowledge transfer from architecture enterprises to component enterprises, and Internet platforms have a stronger facilitation effect on the reverse knowledge transfer from the component enterprises to the architecture enterprises. Our research offers useful recommendations for businesses on how to utilize various Internet settings to promote and assist effective knowledge transfer.

Micro design in inter-organizational hybrid governance: a study on product adaptation, reverse knowledge transfer and integration mechanism

Purpose This study aims to explore the extent to which inter-organizational hybrid governance manages the micro design for optimum reverse knowledge transfer in the open innovation context. The authors use two essential facets of micro design in hybrid governance: product adaptation and integration mechanism. Design/methodology/approach Data for this study were collected from franchisees through structured questionnaires in Indonesia. Findings Results indicated that product adaptation has a positive relationship with reverse knowledge transfer. This study also found that the formalization strengthens the relationship between product adaptation and reverse knowledge transfer. However, the socialization does not have a moderation effect. Research limitations/implications This research estimates the knowledge transfer from the agent’s side only. Therefore, further research is expected to estimate the reverse knowledge transfer in dyads (from agent and principal) to get a detailed understanding of reverse knowledge transfer. Practical implications This study offers guidelines to managers, especially in inter-organizational hybrid governance. The authors suggest reverse knowledge transfer as a form to manage the dispersed knowledge from their agents. Governing institutions should change their view that agents have diverse knowledgebase from experience adapting to local conditions and can improve their open innovation through reverse knowledge transfer. From the results, it is found that giving agents the flexibility to adapt products can boost reverse knowledge transfer to support open innovation. Originality/value This study provides an understanding of the utilization of external knowledge sourcing in the context of open innovation from agent to principal in hybrid governance through reverse knowledge transfer, which has thus far been empirically under-researched.

Reverse Knowledge Transfer in Cross-Border Mergers and Acquisitions in the Chinese High-Tech Industry under Government Intervention

The high-tech industry is the main force promoting the development of China’s national economy. As its industrial economic strength grows, China’s high-tech industry is increasingly using cross-border mergers and acquisitions (CBM&A) as an important way to “go out.” To explore the rules governing the process and operation mechanism of reverse knowledge transfer (RKT) through the CBM&A of China’s high-tech industry under government intervention, a tripartite evolutionary game model of the government, the parent company, and the subsidiary as the main subjects is constructed in this paper. The strategies adopted by the three subjects in the RKT game process are analysed, and the factors influencing RKT through CBM&A under government intervention are simulated and analysed using Python 3.7 software. The results show that, under government intervention, the parent company and subsidiary have different degrees of influence on each other. Subsidiaries are highly sensitive to the compensation rate of RKT. Positive intervention by the government tends to foster stable cooperation between the parent company and the subsidiary. However, over time, the government gradually relaxes its intervention in the RKT and innovation of multinational companies.

The reverse transfer of knowledge in MNEs: the perspective of foreign subsidiaries in a post-transition country

PurposeThe aim of the paper is to identify the determinants of the marketing and managerial knowledge transfer from a foreign subsidiary located in a post-transition country to its headquarters established in a developed country.Design/methodology/approachThe authors combined the critical literature studies and empirical research, where the method of Computer-assisted Telephone Interview (CATI) was applied. The empirical data was gathered from 231 manufacturing foreign subsidiaries established in Poland (as one of the post-transition economy). To test the hypotheses logistic regression was applied.FindingsThe knowledge accumulated in the foreign subsidiary, the amount and level of novelty of innovation in the foreign subsidiary and its strategic autonomy is crucial for the occurrence of the reverse knowledge transfer. However, the more powerful the foreign subsidiary is, the less eager it is to transfer marketing and managerial knowledge to the headquarters.Research limitations/implicationsThe study is concentrated just on the manufacturing sector in the Polish economy. The results are based on the opinions and perception of managers, but they represent the corporate perspective (not their individual ones).Practical implicationsThe study provokes asking the question about the proper level of strategic autonomy of a foreign subsidiary. The implication related to the autonomy is much about the proper strategy for human resources management. The obtained results indicate that the intensity of innovation in a foreign subsidiary “translates” to the outflow of knowledge from a foreign subsidiary to its headquarters. Thus, encourages headquarters to let their subsidiaries innovate still monitoring their power.Social implicationsFSs are entities more or less embedded in the host markets, thus their strength and sustainable existence is important for their stakeholders, in particular – internal entities such as employees and external entities such as suppliers, and other cooperating organisations and institutions in the host market. The contribution of FSs to the innovation performance and knowledge pool of external partners is determined much by their absorptive capacity. Thus, the results obtained indirectly point to the importance of external agents ability to absorb and exploit the knowledge.Originality/valueThe originality of the paper concerns three issues. Firstly, the previous studies are mainly focused on either developed or emerging markets and as a result, the peculiarity of post-transition economies, like Poland has been neglected. Secondly, the determinants of reverse knowledge transfer are presented from the corporate perspective. Thirdly, authors focus on marketing and management knowledge distributed from a foreign subsidiary to its headquarter.

Reverse knowledge transfer from Central to Western Europe: Selected Case Studies

Reverse knowledge transfer refers to the knowledge flow from the subsidiaries to the parent companies. The paper analyzes if the subsidiaries located in former transitional country (Slovakia) can create and transfer original knowledge to the parent companies in so-called developed Western Europe and focuses on the drivers, communication channels and contributions of such a knowledge flow for both, the headquarters and the subsidiaries. Qualitative research of four subsidiaries of multinational corporations was conducted to identify reverse knowledge transfers and to study them in-depth using case study method.

Subsidiary autonomy and knowledge transfer

Purpose This paper aims to explore the effect of subsidiary autonomy on knowledge transfers during captive offshoring to emerging markets. Design/methodology/approach Five longitudinal cases of captive R&D and manufacturing offshoring to emerging markets. Findings The propositions entail the dual effect of operational subsidiary autonomy on primary knowledge transfer and reverse knowledge transfer. For newly established subsidiaries, operational subsidiary autonomy has a mainly negative effect on primary knowledge transfer and a mainly positive effect on reverse knowledge transfer and local collaboration activities increase this effect. Strategic subsidiary autonomy is mainly negative for primary and reverse knowledge transfer. Research limitations/implications Limitations concerning the applied exploratory case study approach suggest that further research should test the identified relationships using surveys, after the initial pilot study. Practical implications A gradual increase of operational subsidiary autonomy as the subsidiary capability level increases is beneficial to ensure primary knowledge transfer. Allowing subsidiaries to collaborate locally within the confines of their mandates benefits reverse knowledge transfer. Originality/value This paper extends the secondary knowledge transfer concept to include knowledge flows with local collaboration partners, not only other subsidiaries and clarifies the distinction between operational and strategic autonomy concerning local collaboration. A subsidiary asserts operational autonomy when its collaboration with local partners relates to its existing mandate. A subsidiary asserts strategic autonomy when it collaborates with local partners beyond this mandate.