Template-type: ReDIF-Paper 1.0
Author-Name: Narula, Rajneesh
Author-Email: r.narula@henley.reading.ac.uk
Author-Workplace-Name: John H Dunning Centre for International Business,
	 Henley Business School, University of Reading
Author-Name: Michel, Julie
Author-Email: julie.michel@unifr.ch
Author-Workplace-Name: Center for Competitiveness, Faculty of Economics and
	 Social Sciences, University of Fribourg
Title: Reverse knowledge transfer and its implications for European policy 
Abstract: There is a growing international dispersion of R&D activities by MNEs 
	 for the purposes of maintaining and augmenting their knowledge assets. 
	 Firms need to tap into alternative knowledge sources , as home countries 
	 are rarely able to meet all their technological needs. However, 
	 accessing to foreign knowledge implies integration with the host country 
	 innovation system that requires considerable time and resources. 
	 Although asset-augmenting activities are seen as primarily benefitting 
	 the MNE, we argue that home country innovation systems can also benefit 
	 from reverse knowledge transfer. Policy makers need to promote these 
	 linkages and flows, rather than seeing R&D internationalisation as a 
	 threat to the home economy. New knowledge developed abroad by firms can 
	 and should be encouraged to be transferred to the rest of the firm and 
	 to the local environment of the home country.
Classification-JEL: F23, O32, L22
Keywords: reverse knowledge transfer, R&D, innovation policy, EU
Series: UNU-MERIT Working Papers
Creation-Date: 2009
Number: 035
File-URL: http://www.merit.unu.edu/publications/wppdf/2009/wp2009-035.pdf
File-Format: application/pdf
File-Size: 275 Kb
Handle: RePEc:unm:unumer:2009035