Journal of International Business Studies

, Volume 41, Issue 2, pp 350–359

The multinational enterprise as a source of international knowledge flows: Direct evidence from Italy

  • Nigel Driffield
  • James H Love
  • Stefano Menghinello
Research Note

Abstract

This paper examines the determinants of technology transfer between parent firms and their international affiliates, and of knowledge spillovers from those affiliates to host-country firms. Using a unique data set of foreign multinational enterprise (MNE) affiliates based in Italy, we find that affiliate investment in R&D and investment in capital-embodied technology plays a significant role in determining the nature of intra-firm technology flows. However, the basis for any spillovers arising from MNE affiliates does not originate from codified knowledge associated with R&D, but rather from the productivity of the affiliate.

Keywords

technology transfer knowledge spillovers technology sourcing 

Copyright information

© Academy of International Business 2009

Authors and Affiliations

  • Nigel Driffield
    • 1
  • James H Love
    • 1
  • Stefano Menghinello
    • 1
    • 2
  1. 1.Economics and Strategy Group, Aston Business School, Aston UniversityBirminghamUK
  2. 2.Istituto nazionale di statistica (ISTAT), Direzione centrale statistiche economiche strutturaliRomeItaly

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