Offshoring and Outsourcing of R&D and Business Activities in Canadian Technology Firms

  • Ajax Persaud University of Ottawa
  • Joseph Floyd University of Ottawa
Keywords: offshoring, outsourcing, research and development, manufacturing, Canada, business strategies, manufacturing firms

Abstract

A substantial amount of empirical research has been conducted on the offshoring/outsourcing practices of U.S., European, South Korean, and Japanese technology firms. However, there is very little research evidence on the strategies of Canadian firms. This leaves a gap in the literature that we aim to fulfill by providing empirical evidence of the practice among Canadian manufacturing firms. The evidence presented is based on t he 2009Survey of Innovation and Business Strategy conducted by Statistics Canada.  This survey provides the largest and most comprehensive data in Canada on this topic.  The data suggest that only a very small proportion of Canadian manufacturing firms offshore/outsource their R&D and other business activities and only a select few countries. The primary motivations for Canadian firms to offshore/outsource their R&D and business activities are to reduce costs and to gain access to new markets. The managerial, policy, and research implications of the results are discussed.

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Author Biographies

Ajax Persaud, University of Ottawa

Ajax Persaud obtained a Ph.D from Carleton University, Ottawa, Canada. He is an Associate Professor in Marketing and Innovation at the University of Ottawa, Canada. His research areas are technology management, entrepreneurship, electronic business and marketing.  He has published numerous refereed articles and conference papers in international peer-reviewed conference and journals including IEEE Transactions on Engineering Management, Journal of Product Innovation Management, International Journal of Technology Management, and Engineering Management Journal. He has won several awards for teaching and research excellence.

Joseph Floyd, University of Ottawa

Joseph Floyd is a graduate student at the Telfer School of Management studying for his Master’s in Innovation and Entrepreneurship. His research focuses is on the internationalization strategies of technology firms.

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Published
2013-09-30
How to Cite
Persaud, A., & Floyd, J. (2013). Offshoring and Outsourcing of R&D and Business Activities in Canadian Technology Firms. Journal of Technology Management & Innovation, 8(3), 1-12. https://doi.org/10.4067/S0718-27242013000400001
Section
Research Articles