Do Overseas R&D Laboratories in Emerging Markets Contribute to Home Knowledge Creation?

Lorena M. D'Agostino, Grazia D. Santangelo

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The double diamond model contends that both home and host locations affect MNE’s international competitiveness. Drawing on the view that multinationals act as a link between home and host, we extend this framework and investigate the indirect impact of host on home location with reference to R&D internationalisation in emerging economies. 0 By resorting to a sample of 221 large OECD regions from which R&D investments departed to the top six host emerging economies, we evaluate the contribution of different OECD R&D laboratories to the home knowledge creation of the OECD investing region. 0 We test the complementarity between domestic R&D and different value-added R&D activities carried out by different technology-intensive R&D laboratories in terms of home knowledge creation of OECD investing regions. 0 Our findings suggest that the activity of R&D laboratories focusing on adaptation complements domestic R&D in terms of knowledge creation regardless of the technological intensity of their operations, while the activity of medium technology-intensive R&D laboratories focusing on development is complementary to domestic R&D.
Original languageEnglish
JournalM I R: Management International Review
Issue number2
Pages (from-to)251–273
Number of pages23
Publication statusPublished - 2012
Externally publishedYes


  • Overseas R&D laboratories
  • Home region knowledge creation
  • Emerging markets

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