Table of Contents

Innovation Spaces in Asia

Innovation Spaces in Asia

Entrepreneurs, Multinational Enterprises and Policy

Edited by Maureen McKelvey and Sharmistha Bagchi-Sen

Innovation Spaces in Asia provides insight into how and why Asia is poised to impact global innovation. Asia is undergoing rapid developments in markets, sources of technology and user preferences. A key characteristic of the book is the rich empirical understanding of the dynamic processes, involving the strategic decisions of firms and entrepreneurs with the broader socio-economic environment in terms of institutions, markets, knowledge and innovation systems. Innovation spaces are analyzed within Asian countries and firms, from Asia to the world, and from the world to Asian countries.

Chapter 12: Tapping into Western technologies by Chinese multinationals: Geely’s purchase of Volvo Cars and Huawei’s hiring of Ericsson employees in Sweden

Ethan Gifford, Marcus Holgersson, Maureen McKelvey and Sharmistha Bagchi-Sen

Subjects: asian studies, asian business, asian innovation and technology, business and management, asia business, entrepreneurship, international business, organisational innovation, economics and finance, evolutionary economics, geography, economic geography, innovation and technology, asian innovation, organisational innovation


This chapter focuses on how firms can access, and tap into, relevant external knowledge for innovation, examining how this happens within two industries that are highly dependent upon scientific and technical knowledge for innovations within their products. One aspect of innovation spaces in Asia is how Western companies are moving into Asia. This chapter addresses another aspect, how Asian companies are searching for, and accessing, technological opportunities and market opportunities in the West. The underlying mechanism studied is how and why Asian companies establish subsidiaries in Europe, with a focus on Sweden. This chapter provides two case studies, which provide insights and understanding about two different mechanisms by which firms from emerging markets can use their establishment, networks, and resources (including human resources) as vital sources of especially technological and scientific knowledge. Specifically, these are mechanisms whereby Chinese companies can use the geographical and knowledge capabilities in Sweden.

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