Capability transfer in the Pacific Rim nations: the case of Japanese electrical and electronics firms

Author: Baba Yasunori   Hatashima Hiroyuki  

Publisher: Inderscience Publishers

ISSN: 0267-5730

Source: International Journal of Technology Management, Vol.10, Iss.7-8, 1995-05, pp. : 732-746

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Abstract

This paper illustrates how Japanese electrical and electronics firms are transferring their technological capabilities, particularly in the area of product development and design, to the Pacific Rim nations. Given the industrial uncertainty caused by the extent of technological change, it is noticeable that the importance of enclosing a multinational firm's technological capabilities in the home country is declining. Rather, it is necessary for multinational firms to incorporate dynamics in product development in the host countries. These dynamics can only be sustained by capability transfer.