Globalization and Technology Absorption : Role of Trade, FDI and Cross-Border Knowledge Flows
Improving the ability of Europe and Central Asia (ECA) countries to tap into the global technology pool is an important mechanism for accelerating their industrial development, worker productivity and economic growth. Trade flows, foreign direct in...
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| Format: | Brief |
| Language: | English |
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World Bank, Washington, DC
2012
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| Online Access: | http://documents.worldbank.org/curated/en/2010/05/12817902/globalization-technology-absorption-role-trade-fdi-cross-border-knowledge-flows http://hdl.handle.net/10986/10192 |
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okr-10986-101922021-04-23T14:02:49Z Globalization and Technology Absorption : Role of Trade, FDI and Cross-Border Knowledge Flows Goldberg, Itzhak Branstetter, Lee Goddard, John Gabriel Kuriakose, Smita ABSORPTIVE CAPACITY BEHAVIORS BUSINESS ENVIRONMENT CD-ROM COLLABORATION COMPETENCIES DIFFUSION OF KNOWLEDGE ENTERPRISE SURVEYS EQUIPMENT EXTERNAL KNOWLEDGE FOREIGN DIRECT INVESTMENT FOREIGN INVESTMENT FOREIGN TRADE GLOBALIZATION GOVERNMENT POLICIES HUMAN CAPITAL HUMAN RESOURCES IDEAS INDUSTRIAL DEVELOPMENT INNOVATION INNOVATION POLICY INNOVATIONS INTEGRATION INTELLECTUAL PROPERTY INTELLECTUAL PROPERTY RIGHT INTERNATIONAL BEST PRACTICES INTERNATIONAL COLLABORATION INVENTION INVENTIONS KNOWLEDGE ECONOMY KNOWLEDGE FLOWS LEARNING LICENSE LICENSING MANUFACTURING NEW TECHNOLOGIES NEW TECHNOLOGY ORGANIZATIONAL STRUCTURES PATENTS POLICY FRAMEWORK PRIVATE SECTOR PRODUCT DESIGNS PRODUCT INNOVATION PRODUCTIVITY R&D TAXONOMY TRADE NETWORKS WORKFORCE WORLD TRADE Improving the ability of Europe and Central Asia (ECA) countries to tap into the global technology pool is an important mechanism for accelerating their industrial development, worker productivity and economic growth. Trade flows, foreign direct investment (FDI), research and development (R&D), and labor mobility and training, are widely accepted as key mechanisms for knowledge absorption. Absorption requires tough decisions and large investments, as firms need to spend resources on modifying imported equipment and technologies, and reorganizing production lines and organizational structures. Case studies of privatized enterprises in Serbia highlight the important role of foreign investors in knowledge absorption, whether acquired through capital goods imports, exporting, hiring consultants and other knowledge brokers, or from licensing technology. The Serbian case studies targeted FDI based on acquisition of existing assets from the government (privatization), or from private owners, rather than 'greenfield' FDI. The analyses suggested, in general, that companies sold to domestic investors were not able to increase exports in a significant way, while comparable firms receiving FDI did much better. In addition, more significant changes in product mix and manufacturing occurred in companies bought by foreign investors. New directors were brought in from the multinational enterprises (MNE), the domestic investors' holdings, from rival companies, or promoted from within. In companies acquired by foreign investors, the comparative advantage for R&D was in the adaptation of products and machinery to local conditions, rather than in innovation. 2012-08-13T10:41:22Z 2012-08-13T10:41:22Z 2010-05 http://documents.worldbank.org/curated/en/2010/05/12817902/globalization-technology-absorption-role-trade-fdi-cross-border-knowledge-flows http://hdl.handle.net/10986/10192 English Europe and Central Asia Knowledge Brief; Volume No. 21 CC BY 3.0 IGO http://creativecommons.org/licenses/by/3.0/igo/ World Bank World Bank, Washington, DC Publications & Research :: Brief Publications & Research Europe and Central Asia |
| repository_type |
Digital Repository |
| institution_category |
Foreign Institution |
| institution |
Digital Repositories |
| building |
World Bank Open Knowledge Repository |
| collection |
World Bank |
| language |
English |
| topic |
ABSORPTIVE CAPACITY BEHAVIORS BUSINESS ENVIRONMENT CD-ROM COLLABORATION COMPETENCIES DIFFUSION OF KNOWLEDGE ENTERPRISE SURVEYS EQUIPMENT EXTERNAL KNOWLEDGE FOREIGN DIRECT INVESTMENT FOREIGN INVESTMENT FOREIGN TRADE GLOBALIZATION GOVERNMENT POLICIES HUMAN CAPITAL HUMAN RESOURCES IDEAS INDUSTRIAL DEVELOPMENT INNOVATION INNOVATION POLICY INNOVATIONS INTEGRATION INTELLECTUAL PROPERTY INTELLECTUAL PROPERTY RIGHT INTERNATIONAL BEST PRACTICES INTERNATIONAL COLLABORATION INVENTION INVENTIONS KNOWLEDGE ECONOMY KNOWLEDGE FLOWS LEARNING LICENSE LICENSING MANUFACTURING NEW TECHNOLOGIES NEW TECHNOLOGY ORGANIZATIONAL STRUCTURES PATENTS POLICY FRAMEWORK PRIVATE SECTOR PRODUCT DESIGNS PRODUCT INNOVATION PRODUCTIVITY R&D TAXONOMY TRADE NETWORKS WORKFORCE WORLD TRADE |
| spellingShingle |
ABSORPTIVE CAPACITY BEHAVIORS BUSINESS ENVIRONMENT CD-ROM COLLABORATION COMPETENCIES DIFFUSION OF KNOWLEDGE ENTERPRISE SURVEYS EQUIPMENT EXTERNAL KNOWLEDGE FOREIGN DIRECT INVESTMENT FOREIGN INVESTMENT FOREIGN TRADE GLOBALIZATION GOVERNMENT POLICIES HUMAN CAPITAL HUMAN RESOURCES IDEAS INDUSTRIAL DEVELOPMENT INNOVATION INNOVATION POLICY INNOVATIONS INTEGRATION INTELLECTUAL PROPERTY INTELLECTUAL PROPERTY RIGHT INTERNATIONAL BEST PRACTICES INTERNATIONAL COLLABORATION INVENTION INVENTIONS KNOWLEDGE ECONOMY KNOWLEDGE FLOWS LEARNING LICENSE LICENSING MANUFACTURING NEW TECHNOLOGIES NEW TECHNOLOGY ORGANIZATIONAL STRUCTURES PATENTS POLICY FRAMEWORK PRIVATE SECTOR PRODUCT DESIGNS PRODUCT INNOVATION PRODUCTIVITY R&D TAXONOMY TRADE NETWORKS WORKFORCE WORLD TRADE Goldberg, Itzhak Branstetter, Lee Goddard, John Gabriel Kuriakose, Smita Globalization and Technology Absorption : Role of Trade, FDI and Cross-Border Knowledge Flows |
| geographic_facet |
Europe and Central Asia |
| relation |
Europe and Central Asia Knowledge Brief; Volume No. 21 |
| description |
Improving the ability of Europe and
Central Asia (ECA) countries to tap into the global
technology pool is an important mechanism for accelerating
their industrial development, worker productivity and
economic growth. Trade flows, foreign direct investment
(FDI), research and development (R&D), and labor
mobility and training, are widely accepted as key mechanisms
for knowledge absorption. Absorption requires tough
decisions and large investments, as firms need to spend
resources on modifying imported equipment and technologies,
and reorganizing production lines and organizational
structures. Case studies of privatized enterprises in Serbia
highlight the important role of foreign investors in
knowledge absorption, whether acquired through capital goods
imports, exporting, hiring consultants and other knowledge
brokers, or from licensing technology. The Serbian case
studies targeted FDI based on acquisition of existing assets
from the government (privatization), or from private owners,
rather than 'greenfield' FDI. The analyses
suggested, in general, that companies sold to domestic
investors were not able to increase exports in a significant
way, while comparable firms receiving FDI did much better.
In addition, more significant changes in product mix and
manufacturing occurred in companies bought by foreign
investors. New directors were brought in from the
multinational enterprises (MNE), the domestic
investors' holdings, from rival companies, or promoted
from within. In companies acquired by foreign investors, the
comparative advantage for R&D was in the adaptation of
products and machinery to local conditions, rather than in innovation. |
| format |
Publications & Research :: Brief |
| author |
Goldberg, Itzhak Branstetter, Lee Goddard, John Gabriel Kuriakose, Smita |
| author_facet |
Goldberg, Itzhak Branstetter, Lee Goddard, John Gabriel Kuriakose, Smita |
| author_sort |
Goldberg, Itzhak |
| title |
Globalization and Technology Absorption : Role of Trade, FDI and Cross-Border Knowledge Flows |
| title_short |
Globalization and Technology Absorption : Role of Trade, FDI and Cross-Border Knowledge Flows |
| title_full |
Globalization and Technology Absorption : Role of Trade, FDI and Cross-Border Knowledge Flows |
| title_fullStr |
Globalization and Technology Absorption : Role of Trade, FDI and Cross-Border Knowledge Flows |
| title_full_unstemmed |
Globalization and Technology Absorption : Role of Trade, FDI and Cross-Border Knowledge Flows |
| title_sort |
globalization and technology absorption : role of trade, fdi and cross-border knowledge flows |
| publisher |
World Bank, Washington, DC |
| publishDate |
2012 |
| url |
http://documents.worldbank.org/curated/en/2010/05/12817902/globalization-technology-absorption-role-trade-fdi-cross-border-knowledge-flows http://hdl.handle.net/10986/10192 |
| _version_ |
1764412190352211968 |