Kiel Working Papers, Kiel Institute for World Economics
No 1578:
Do Sources of Knowledge Transfer Matter? – A Firm-level Analysis in the PRD, China
Wan-Hsin LIU
Abstract: This paper investigates whether knowledge transferred from
different sources matter differently for carrying out different innovation
outcomes, using a firm-level dataset collected in the Pearl River Delta
(PRD) in China. It also investigates whether companies in the PRD in China
tend to innovate in a similar way as companies in the Asian Newly
Industrialised Economies (NIEs) did decades ago. Our estimation results
suggest that companies in the PRD, as companies in the Asian NIEs, strongly
rely on sourcing from their OEM customers but not on own R&D activities to
implement innovative processes to increase production efficiency. In
contrast, they engage in own R&D activities in order to develop innovative
products, to realise higher innovation sales and to create new knowledge
qualified for patenting. In addition to own R&D activities, they rely on
sourcing knowledge from different sets of sources to support them to carry
out the last three types of innovation outcomes
Keywords: innovation, knowledge transfer, knowledge production function, flying geese model, China; (follow links to similar papers)
JEL-Codes: O1,; O3,; R1; (follow links to similar papers)
35 pages, December 2009
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