Innovation and Institutional Embeddedness of Multinational Companies
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Innovation and Institutional Embeddedness of Multinational Companies

Edited by Martin Heidenreich

Multinational companies are crucial actors in a global knowledge-based economy, combining the advantages of global and locally coordinated production and innovation strategies with specific regional and national factors. This book questions how MNCs can best exploit institutionally embedded knowledge, explores the utilization of external institutionally embedded knowledge in corporate innovation processes, and addresses the challenges of embeddedness.
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Chapter 4: MNCs between the Local and the Global: Knowledge Bases, Proximity and Distributed Knowledge Networks

Bjørn T. Asheim, Bernd Ebersberger and Sverre J. Herstad


Bjørn T. Asheim, Bernd Ebersberger and Sverre J. Herstad 4.1 INTRODUCTION The present stage of economic globalization is characterized by the emergence of widely distributed production and innovation networks (Coe et al., 2008; Gereffi et al., 2005; Sturgeon, 2003). These involve complex constellations of collaboration between independent enterprises and the globalization of R&D and innovation controlled administratively within the realm of multinational enterprises (UNCTAD, 2005). The key component in this is technological asset development and control, that is, knowledge and its diverse properties and geographies. However, research has yet to disentangle the relationship between basic characteristics of knowledge and the internationalization of innovation. For the purpose of theoretical conceptualization, this chapter links research on different industrial knowledge bases with research on the internationalization of innovation by means of MNC activity and external networking. For the purpose of first-step empirical analysis, we have used Norwegian community innovation survey data to investigate the following research questions: 1. To what extent are different knowledge bases and MNC affiliations associated with different degrees of spatial dispersion of innovation collaboration? 2. To what extent does presence in a foreign region by means of a daughter subsidiary influence the diversity of collaborative relationships maintained by Norwegian enterprises in the same foreign region? 3. To what extent is the impact of subsidiary presence contingent on the knowledge base of the firm? 77 M2870 - HEIDENREICH 9780857934321 PRINT.indd 77 01/03/2012 08:09 78 Innovation and institutional embeddedness of MNCs 4.2 MULTINATIONAL COMPANIES Research within economics and...

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