ABSTRACT
The previous chapter analyzed the implications of global R&D in emerging economies for the innovation systems of the main actors, the companies, the host countries and the home countries. In addition to these main actors, innovations in emerging economies have implications for other developing countries. Recognizing the innovation capabilities of the emerging economies, companies from other developing countries have started locating R&D activities in emerging economies. Companies from China, South Korea, Thailand and Singapore have established R&D centers in India. Similarly, South Korean companies have also located R&D units in China and Russia. By investing in R&D facilities in emerging economies, companies from other developing countries are able to access skills and knowledge that are not easily available in their home countries. Such South-South flow R&D-related FDI and trade in know-how and technology-intensive products are likely to increase in the near future.
