Multinational Enterprises, Exporting and R&D Activities in the South
Keywords:
Multinational Enterprises, Exporting and R&D activityAbstract
This paper examines the role of MNEs and exporting on R&D activities by using detailed data from Thai manufacturing. Three types of R&D investment are considered here, namely R&D leading to improved production technology; R&D product development and R&D process innovation. The results show that most MNEs, except those in automotive and hard disk drive industries, use technology transmission, instead of technology generation, i.e. setting up R&D, in the host country. However, MNEs generate the positive spillovers to indigenous firms to invest more in R&Ds, especially in terms of product development and process innovation. The results also show that exporting promote R&D product development, but not for the other two.
References
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34. Mishra, V. (2007) ‘The determinants of R&D expenditure of firms: evidence from a cross-section of Indian firms’, Economic Papers, Economic Society of Australia, 26: 3, 237-248
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36. Pavitt, K. (1987), ‘The objectives of technology policy’, Science and Public Policy, 14, 182–188
37. Salomon R. and Shaver J.M. (2005) ‘Learning by exporting: new insights from examining firm innovation’ Journal of Economics and Management Strategy,14:2, 431–460
38. Serapio, M. and D. Dalton (1999), ‘Globalization and industrial R&D: an examination of foreign direct investment in R&D in the United States’, Research Policy, 28, 303-16
39. Schumpeter, J.A. (1942) ‘Capitalism, Socialism and Democracy’ New York: Harper
40. Sjöholm, F (1999), ‘Technology Gap, Competition and Spillovers from Direct Foreign Investment: Evidence from Establishment Data’, Journal of Development Studies, 36: 1, 53-73
41.Vernon, R. (1979) ‘The product cycle in the new international environment’ The Oxford bulletin of economics and statistics, 41, 255-267
42. Vaona, A. and Pianta, M. (2008) ‘Firm Size and Innovation in European Manufacturing’, Small Business Economics, 30:3, 283-299
43. Wakelin, K. (1998) ‘Innovation and export behaviour at the firm level’ Research Policy, 26, 829-841
44. Yoon, C.H., Kwon, N.H. and Sim, H.M. ‘An Analysis of Spill-over Effects of R&D Activities on National Economy: Focused on IT Industry’, KISDI 2000-02
2. Abdelmoula, M. and Etienne, J.M. (2010) 'Determination of R&D investment in French firms: a two-part hierarchical model with correlated random effects', Economics of Innovation and New Technology, 19:1, 53 — 70
3. Athukorala, P. and Kohpaiboon, A., (2006), ‘Multinational Enterprises and Globalization of R&D: A Study of U.S-based Firms’, Departmental Working Papers 2006-06, Australian National University.
4. Athukorala, P. and Kohpaiboon, A., (2010), ‘Globalization of R&D by US-based Multinational Enterprises’, Research Policy 39: 1335-72.
5. Aw, B.Y., Roberts, M.J., and Xu, D.Y. (2008) R&D Investments, Exporting, and the Evolution of Firm Productivity. American Economic Review, 98, 451-456
6. Aw, B.Y., Roberts, M., and Xu, D (2009), ‘R&D Investment, Exporting and Productivity Dynamics’, NBER Working Paper No. 14670, the National Bureau of Economic Research, Washington DC.
7. Barrios, B. and Lucio J.D. (2003) ‘Economic integration and regional business cycles: Evidence from the Iberian regions’, Oxford Bulletin of Economics and Statistics, 65, 497–515
8. Barrios, B., Brulhart, M., Elliot, R. and Sensier, M. (2003) ‘A tale of two cycles: Co-fluctuations between UK regions and the Euro Zone’, The Manchester School, 71, 265–292
9. Blomström, M and A. Kokko (1998), ‘Multinational Corporations and Spillovers’, Journal of Economic Surveys, 12: 2, 147-77
10. Cassiman, B., E. Golovko and E. Martinez-Ros (2010), ‘Innovation, Exports and Productivity’, International Journal of Industrial Organization, 28: 4, 372-76.
11. Clerides, S. K., Lach, S., and Tybout, J.R. (1998), ‘Is learning by exporting important? Microdynamic evidence from Colombia, Mexico, and Morocco’, Quarterly Journal of Economics, 113, 903-947
12. Criscuolo, C., Haskel, J. and Slaughter, M. (2005) ‘Global engagement and the innovation activities of firms’, NBER Working Paper, 11479, Cambridge, MA
13. Daft, R.L., Lengel, R.H., Trevino, L.K. (1987) ‘Message equivocality, media selection and manager performance: implications for information systems’, MIS Quarterly, 11:3, 355-366
14. Damijan, J., C. Kostevc and S. Polanec (2010), ‘From Innovation to Exporting and Vice Versa?’, The World Economy, 33: 3, 374-98
15. Dorfman, N.S. (1987) ‘Innovation and market structure: Lessons from the computer and semiconductor industries’ Cambridge, MA: Ballinger
16. Greenaway, D. and Kneller, R (2004), ‘New Perspectives on the Benefits of Exporting’, Economie Internationale, 100, 99-110
17. Grossman G. and Helpman E. (1991): ‘Innovation and Growth in the Global Economy’, MIT Press, Cambridge MA.
18. Hahn, C-H (2010), ‘Does Exporting Promote New Product Introduction? Evidence from Plant-Product Data on Korean Manufacturing’, memo
19. Hirsch, S. and Bijaoui, I. (1985), ‘R&D Intensity and Export Performance: A Micro View’ ,Weltwirtschaftliches Archiv, 121, 238-251
20. Jongwanich, J. and Kohpaiboon, A. (2007) ‘Determinants of Protection in Thai Manufacturing’, Economic Papers, 26:3, 276-94.
21. Jongwanich, J and A. Kohpaiboon (2008) ‘Export Performance, Foreign Ownership and Trade Policy Regime: Evidence from Thai Manufacturing’, ERD Working Paper No. 140, Economics and Research Department, Asian Development Bank.’
22. Jongwanich, J (2011) Foreign Direct Investment in Emerging Asia: Implications of the International Production Network, in Firm-level internationalisation, regionalism and globalisation, Elaine Hutson, Rudolf R. Sinkovics and Jenny Berrill (Eds.), London: Palgrave Macmillan.
23. Kohpaiboon, A (2006), ‘Foreign Direct Investment and Technology Spillovers: A Cross-Industry Analysis of Thai Manufacturing’, World Development, 34: 3, 541-56
24. Kohpaiboon, A. (2010) Import-as-market discipline Hypothesis: Evidence of Thai Manufacturing Sector
25. Kokko, A. (1994), ‘Technology, Market Characteristics, and Spillovers’, Journal of Development Economics, 43: 2, 279-93
26. Kokko, A., M. Zejan, and R. Tansini (2001), ‘Trade Regimes and Spillover Effects of FDI: Evidence from Uruguay’, Weltwirtschaftliches Archiv, 137:1, 124-49
27. Lall, S. (1979) ‘The International Allocation of Research Activity by US Multinationals’, Oxford Bulletin of Economics and Statistics, 41:4, 313-31
28. Lazonick, W (2006), The innovative Firm, in The Oxford Handbook of Innovation, Jan Fagerberg., David C. Mowery and Richard R. Nelson (eds.), Oxford University Press, New York.
29. Lee, M.H. and Hwang, I.J. (2003) ‘Determinants of corporate R&D investment: An empirical study comparing Korea's IT industry with its non-IT industry’, ETRI Journal, 25:4, 258-265
30. Levin, R.C., Klevorick, A.K., Nelson, R.R., and Winter, S.G. (1987). ‘Appropriating the returns from industrial research and development’. Brookings Papers on Economic Activity, 3 , 783-820
31. Lipsey, R.E. (2001) ‘Foreign Direct Investment and the Operations of Multinational Firms: Concepts, History, and Data’, NBER Working Papers 8665, National Bureau of Economic Research
32. Melitz, M.J. and Ottaviano, G.I.P., (2008) ‘Market Size, Trade, and Productivity,’ Review of Economic Studies, 75:1, 295-316
33. Meyer, J. (2009) ‘Workforce age and technology adoption in small and medium-sized service firms’, Small Business Economics: 12-32
34. Mishra, V. (2007) ‘The determinants of R&D expenditure of firms: evidence from a cross-section of Indian firms’, Economic Papers, Economic Society of Australia, 26: 3, 237-248
35. Newark, P.D.L. (1983) ‘Further Evidence of the Determinants of Industrial Research and Development Using Single and Simultaneous Equation Model’, empirical economics, 8: 203-14.
36. Pavitt, K. (1987), ‘The objectives of technology policy’, Science and Public Policy, 14, 182–188
37. Salomon R. and Shaver J.M. (2005) ‘Learning by exporting: new insights from examining firm innovation’ Journal of Economics and Management Strategy,14:2, 431–460
38. Serapio, M. and D. Dalton (1999), ‘Globalization and industrial R&D: an examination of foreign direct investment in R&D in the United States’, Research Policy, 28, 303-16
39. Schumpeter, J.A. (1942) ‘Capitalism, Socialism and Democracy’ New York: Harper
40. Sjöholm, F (1999), ‘Technology Gap, Competition and Spillovers from Direct Foreign Investment: Evidence from Establishment Data’, Journal of Development Studies, 36: 1, 53-73
41.Vernon, R. (1979) ‘The product cycle in the new international environment’ The Oxford bulletin of economics and statistics, 41, 255-267
42. Vaona, A. and Pianta, M. (2008) ‘Firm Size and Innovation in European Manufacturing’, Small Business Economics, 30:3, 283-299
43. Wakelin, K. (1998) ‘Innovation and export behaviour at the firm level’ Research Policy, 26, 829-841
44. Yoon, C.H., Kwon, N.H. and Sim, H.M. ‘An Analysis of Spill-over Effects of R&D Activities on National Economy: Focused on IT Industry’, KISDI 2000-02
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Published
2015-08-21
How to Cite
Jongwanich, J., & Kohpaiboon, A. (2015). Multinational Enterprises, Exporting and R&D Activities in the South. Thailand and The World Economy, 33(2), 1–35. Retrieved from https://so05.tci-thaijo.org/index.php/TER/article/view/137663
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