ABSTRACT
Like Intel, many MNEs are increasingly dedicating their important resources (financial, technological, and human) to global research and development (R&D) in search of sustained competitive advantages in the global marketplace. At the dawn of the twenty-first century, R&D has been fundamentally globalized, with core innovative capabilities remaining close to corporate headquarters in the home country. Many Western MNEs are extending their R&D activities not only in other developed countries but also in developing countries, especially emerging markets (e.g., IBM’s R&D center in Beijing, China). At the same time, MNEs from newly industrialized nations such as Asia’s mini-dragons (South Korea, Singapore, Taiwan, and Hong Kong) have begun to relocate many R&D activities abroad.
