Reverse Transfers of Innovation and National Development: Evidence from Brazilian Subsidiaries

  • Maitê Alves Bezerra Department of International Business and Strategy, Henley Business School - University of Reading Whiteknights, Reading, Berkshire
  • Felipe Mendes Borini Department of International Business Studies, Escola Superior de Propaganda e Marketing (ESPM-SP), São Paulo.
  • Maria Laura Maclennan Ferranty Department of Business Studies, University of São Paulo.
Keywords: reverse transfer, innovation transfer, product innovation, process innovation, subsidiaries

Abstract

The search for innovation has become an important motivation for the internationalization of companies in emerging countries. In that context, this study tests the impact that a nation’s development has on whether subsidiaries transfer innovation of products or that of processes. Survey data collected from 73 subsidiaries of Brazilian companies indicate that companies located in developed markets tend to transfer more product-oriented innovations than do those based in emerging countries. Furthermore, the size and age of a subsidiary has an impact on the transfer process. The larger and younger the subsidiary, the more likely a company is to favor the flow of product innovation into its headquarters. The level of national development was not identified as an influence on the flow of process innovation.

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Author Biographies

Felipe Mendes Borini, Department of International Business Studies, Escola Superior de Propaganda e Marketing (ESPM-SP), São Paulo.

Felipe Borini is Associate Professor of Global Strategy at ESPM-SP and Professor in the Department of Business Studies at University of São Paulo. He has PhD in Business Administration at University of Sao Paulo (USP). His main research interests are strategies and innovation in foreign subsidiaries.

Maria Laura Maclennan Ferranty, Department of Business Studies, University of São Paulo.

Laura Ferranty is a Phd candidate at university of São Paulo. Her main research interests are strategy and international business studies.

Published
2015-12-15
How to Cite
Bezerra, M. A., Borini, F. M., & Ferranty, M. L. M. (2015). Reverse Transfers of Innovation and National Development: Evidence from Brazilian Subsidiaries. Journal of Technology Management & Innovation, 10(4), 1-8. https://doi.org/10.4067/S0718-27242015000400001
Section
Research Articles