Internationalization of R&D in two high-tech clusters and cooperation of R&D units in those clusters

Abstract: In the paper, we present how transnational corporations (TNCs) internationalize their R&D and how they allocate foreign R&D units in high-tech clusters, where competitors of these TNCs, research and academic institutions, and suppliers of these TNCs are also located. We confront two paradigms of R&D internationalization (traditional and new one) and we determine what are the main motives that drive R&D internationalization of TNCs. Based on a modern innovation theory, we derive a cluster approach as a specific method of analyzing modern R&D internationalization.  We then present an analysis of two high-tech clusters (Cambridge, Bangalore) and we show that some TNCs allocate their foreign R&D units into those clusters, in order to make use of available external knowledge from academic institutions through intensive R&D collaborations.
Keywords: transnational corporations, R&D internationalization, clusters, R&D collaboration
Author: Peter Štrukelj, Slavko Dolinšek
Journal Code: jptindustrigg100031

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