2020
DOI: 10.1111/1911-3846.12588
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R&D Investments and Tax Incentives: The Role of Intra‐Firm Cross‐Border Collaboration*

Abstract: U.S. multinational corporations increasingly use intra-firm, cross-border research collaboration to disperse R&D across different countries. This paper investigates the implications of such collaboration on the abilities of firms to garner benefits from R&D tax incentives. We find that the association between R&D intensity and tax incentives is three to five times larger when firms have extensive cross-border collaboration connected to a country. We also find that the effect is stronger when local intellectual… Show more

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Cited by 13 publications
(11 citation statements)
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References 67 publications
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“…The link between R&D intensity and tax incentives is three to five times greater when the company is not from the same country. Cross-border cooperation helps companies to achieve tax-efficient investments in R&D (Huang, Krull & Ziedonis, 2020).…”
Section: Discussionmentioning
confidence: 99%
“…The link between R&D intensity and tax incentives is three to five times greater when the company is not from the same country. Cross-border cooperation helps companies to achieve tax-efficient investments in R&D (Huang, Krull & Ziedonis, 2020).…”
Section: Discussionmentioning
confidence: 99%
“…), y no a actividades formales y complejas que implican cambios en productos o servicios, insumos, cadenas de suministros, etc. Lo anterior pone de manifiesto que este tipo de colaboraciones no siempre son relevantes para las empresas, o que requieren una apropiada configuración, recursos humanos, y agentes externos calificados, como lo aseveran otros estudios empíricos (Huang, Krull, & Ziedonis, 2020;Raposo, Ferreira, & Fernandes, 2014).…”
Section: Modelo Estructuralunclassified
“…Esto probablemente se deriva de que la mayoría de la muestra de empresas en la frontera norte no son empresas industriales con perfil tecnológico, pues pertenecen sobre todo al sector comercial, donde se limitan a una configuración colaborativa de tratos básicos con usuarios, clientes y proveedores; y tratos comerciales más informales que no se destacan de la rutina operacional y se tornan sin relevancia para dicho sector (Huang, Krull, & Ziedonis, 2020;Pipkin, 2018;Raposo et al, 2014).…”
Section: Conclusionesunclassified
“…helping maintain global food supplies (Elleby et al, 2020;MacDonald et al, 2015; Globalisation, Logistics and Food Supply: Evidence from Vietnam operational activities of multinationals have been expanding in many regions of the world (Hill & Hult, 2019, p. 8;UNCTAD, 2020). Intra-firm trade activities have made up a large proportion of the global trade value (Huang et al, 2020;Lavoratori et al, 2020;Morikawa, 2019;Vinod & Rao, 2019). Intra-firm exports arguably contributed approximately one-third of the world exports (UNCTAD, 2016).…”
Section: Introductionmentioning
confidence: 99%