Managing international technology transfer risk: A case analysis of U.S. high-technology firms in Asia

Managing FDI technology spillovers: A challenge to TNCs in emerging markets

“…It was suggested that TNCs should choose to use periphery, dependent and tacit technologies in foreign affiliates in order to protect themselves from unwanted technology appropriation. This line of thinking is also evident in other recent studies, and has indeed offered a new approach to crossborder technology management (see, for instance, Norman, 2002;Cannice, Chen and Daniels, 2003;Jordan and Lowe, 2004).…”

“…Even without policy restrictions, moreover, TNCs may choose to establish joint ventures in order to benefit from local partners' knowledge, marketing networks and social networks. Entry mode selection based on internalization theory is, therefore, insufficient for cross-border technology management (Cannice, Chen and Daniels, 2003). TNCs have to think about what they should do to protect their technology if they have to enter an overseas market through joint ventures.…”

The Contribution of Human Capital towards Economic Growth in China

“…They also find that provinces with a higher FDI ratio had also a faster technology upgrading and a faster economic growth. However, Cannice, Chen and Daniels (2003) found that there was considerable reluctance by transnational corporations (TNCs) to transfer technology to their subsidiaries in other countries. In many instances, TNCs only transferred dependent or peripheral technologies to their subsidiaries to prevent perceived "technology loss"; so that China may not gain full benefits from such technological transfer.…”

General packet radio service (GPRS) technology transfer: A case study to evaluate transferors

“…Most of the literature on international technology transfer is based on internalization theory and focuses on entry mode [2]. According to the internalization theory, firms are encouraged to exploit their technology on their own because they otherwise bear the costs to monitor partners' (licensees or joint ventures) use of their knowledge and incur risks that partners might violate the terms of technology agreements [2].…”

“…Transaction cost theory addresses the cost of opportunism by technology partners during foreign expansion, and also considers the costs of teaching a tacit technology to an outside organization, because when technology is less codified and teachable or more complex, companies are more prone to use a wholly owned subsidiary than a joint venture to transfer the technology [2].…”