Hostname: page-component-78c5997874-lj6df Total loading time: 0 Render date: 2024-11-11T03:00:43.307Z Has data issue: false hasContentIssue false
  • English
  • Français

Knowledge Spillovers, Search, and Creation in China's Emerging Market

Published online by Cambridge University Press:  02 February 2015

Haiyang Li ,
Yan (Anthea) Zhang  and
Marjorie Lyles
Haiyang Li
Affiliation:
Rice University, USA
Yan (Anthea) Zhang
Affiliation:
Rice University, USA
Marjorie Lyles
Affiliation:
Indiana University, USA
Get access Rights & Permissions [Opens in a new window]

Abstract

Prior research and the articles included in this special issue demonstrate that in emerging markets in general and in China in particular, knowledge spillovers exist between foreign firms and domestic firms. As domestic markets become more sophisticated, and competition between domestic firms and foreign firms becomes stronger, knowledge is flowing to and being sourced in many different directions: from overseas head offices to foreign firms then on to domestic firms; from domestic firms to domestic firms; and from domestic firms to foreign firms, and back to the multinational corporations' head offices in the form of reverse spillovers and reverse innovation. We propose that knowledge spillovers, search, and creation in an emerging market are a dynamic and reciprocal process with knowledge flowing between and among foreign and domestic firms. This represents a fertile field for future research and we have identified a number of areas ripe for study.

Keywords

emerging marketsknowledge creationknowledge searchknowledge spilloversreverse innovationreverse spillovers新兴市场知识创新知识搜寻知识溢出回溯创新回溢
Type
From the Guest Editors
Information
Management and Organization Review , Volume 9 , Issue 3: Special Issue Knowledge Search, Spillovers, and Creation in Emerging Markets , November 2013 , pp. 395 - 412
Copyright
Copyright © International Association for Chinese Management Research 2013

Access options

Get access to the full version of this content by using one of the access options below. (Log in options will check for institutional or personal access. Content may require purchase if you do not have access.)

References

Aitken, B. J., & Harrison, A. E. 1999. Do domestic firms benefit from direct foreign investment? Evidence from Venezuela. American Economic Review, 89(3): 605–618.Google Scholar
Barnett, W. P., & Hansen, M. T. 1996. The Red Queen in organizational evolution. Strategic Management Journal, 17(S1): 139–157.Google Scholar
Blomström, M. 1986. Foreign investment and productive efficiency. The case of Mcxico Journal of Industrial Economics, 35(1): 97–110.Google Scholar
Buckley, P. J., Clegg, J., & Wang, C. 2007. Is the relationship between inward FDI and spillover effects linear? An empirical examination of the case of China. Journal of International Business Studies, 38(3): 447–459.Google Scholar
Cantwell, J. A., & Zhang, F. 2013. Do foreign-owned subsidiaries in China follow a distinctive pattern of technological knowledge sourcing. Management and Organization Review, 9(3): 489–512.Google Scholar
Caves, R. E. 1996. Multinational enterprise and economic analysis (2nd ed.). Cambridge: Cambridge University Press.Google Scholar
Chang, S. J., & Xu, D. 2008. Spillovers and competition among foreign and local firms in China. Strategic Management journal, 29(5): 495–518.Google Scholar
Chen, C. C, Chen, X., & Huang, S. 2013. Chinese guanxi: An integrative review and new directions for future research. Management and Organization Review, 9(1): 167–207.Google Scholar
China Daily. 2003. Japan joins high-speed railway bid. August 6.Google Scholar
Dhanaraj, C., Lyles, M. A., Steensma, H. K., & Tihanyi, L. 2004. Managing tacit and explicit knowledge transfer in IJVs: The role of relational embeddedness and the impact on performance. Journal International Business Studies, 35(5): 428–442.CrossRefGoogle Scholar
Du, J., Lu, Y., & Tao, Z. 2008. Economie institutions and FDI location choice: Evidence from US multinationals in China. Journal of Comparative Economics, 36(3): 412–429.Google Scholar
Economist Intelligence Unit. 2011. Multinational companies and China: What future? Google Scholar
Eden, L. 2009. Letter from the editor-in-chief: FDI spillovers and linkages. Journal of International Business Studies, 40(7): 1065–1069.CrossRefGoogle Scholar
Feinberg, S. E., & Majumdar, S. K. 2001. Technology spillovers from foreign direct investment in the Indian pharmaceutical industry. Journal of International Business Studies, 32(3): 421–437.Google Scholar
Hitt, M., Li, H., & Worthington, W. 2005. Emerging markets as learning laboratories: Learning behaviours of local firms and foreign entrants in different institutional contexts. Management and Organization Review, 1(3): 353–380.CrossRefGoogle Scholar
Immelt, J. R., Govindarajan, V., & Trimble, C. 2009. How GE is disrupting itself. Harvard Business Review, 87(10): 56–65.Google Scholar
Katila, R. 2002. New product search over time: Past ideas in their prime? Academy of Management Journal, 45(5): 995–1010.CrossRefGoogle Scholar
Katila, R., & Ahuja, G. 2002. Something old, something new: A longitudinal study of search behavior and new product introduction. Academy of Management Journal, 45(6): 1183–1194.Google Scholar
Laursen, K., & Salter, A. 2006. Open for innovation: The role of openness in explaining innovation performance among U.K. manufacturing firms. Strategic Management Journal, 27(2): 131–150.Google Scholar
Li, H., & Atuahene-Gima, K. 2001. Product innovation strategy and the performance of new technology ventures in China. Academy of Management Journal, 44(6): 1123–1134.Google Scholar
Li, H., Zhang, Y., Li, Y., Zhou, L.-A., & Zhang, W. 2012. Returnees versus locals: Who perform better in China’s technology entreprcneurship? Strategic Entrepreneurs hip Journal, 6(3): 257–272.CrossRefGoogle Scholar
Li, J., Chen, D., & Shapiro, D. M. 2013. FDI spillovers at the national and subnational level: The impact on product innovation by Chinese firms. Management and Organization Review, 9(3): 413–435.Google Scholar
Liu, J., Chen, L., & Kittilaksanawong, W. 2013. External knowledge search strategics in China's technology ventures: The role of managerial interpretations and ties. Management and Organization Review, 9(3): 437–463.Google Scholar
Liu, X., Lu, J., Filatotchev, I., Buck, T., & Wright, M. 2010. Returnee entrepreneurs, knowledge spillovers and innovation in high-tech firms in emerging economies. Journal of International Business Studies, 41(7): 1183–1197.Google Scholar
Luo, Y., Huang, Y., & Wang, S. L. 2012. Guanxi and organizational performance: A meta-analysis. Management and Organization Review, 8(1): 139–172.Google Scholar
Lyles, M. A., & Salk, J. E. 1996. Learning from foreign parents in international joint ventures: An empirical examination in the Hungarian context. Journal of International Business Studies, 27(6): 1139–1162.Google Scholar
Meyer, K. E. 2004. Perspectives on multinational enterprises in emerging economies. Journal of International Business Studies, 35(4): 259–276.Google Scholar
Ocasio, W. 1997. Towards an attention based view of the firm. Strategic Management Journal, 18(S1): 187–206.Google Scholar
Petersen, B., Pedersen, T., & Lyles, M. A. 2008. Closing knowledge gaps in foreign markets. Journal of International Business Studies, 39(7): 1097–1113.Google Scholar
Shaver, M. J., & Flyer, F. 2000. Agglomeration economies, firm heterogeneity, and foreign direct investment in the United States. Strategic Management Journal, 21(12): 1175–1193.3.0.CO;2-Q>CrossRefGoogle Scholar
Spencer, J. W. 2008. The impact of multinational enterprise strategy on indigenous enterprises: Horizontal spillovers and crowding out in developing countries. Academy of Management Review, 33(2): 341–361.CrossRefGoogle Scholar
Teece, D. J. 1986. Profiting from technological innovation: Implications for integration, collaboration, licensing and public policy. Research Policy, 15(6): 285–305.Google Scholar
Tian, X. 2007. Accounting for sources of FDI technology spillovers: Evidence from China. Journal of International Business Studies, 38(1): 147–159.Google Scholar
Walsh, I. J., Bhatt, M., & Bartunek, J. M. 2009. Organizational knowledge creation in the Chinese context. Management and Organization Review, 5(2): 261–278.Google Scholar
Walsh, K. 2002. Written testimony for the hearing before the U.S. China Security Review Commission, January 17.Google Scholar
Wu, A., & Wei, J. 2013. Geographic search and product innovation of industrial cluster firms in China. Management and Organization Review, 9(3): 465–487.CrossRefGoogle Scholar
Xinhua News. 2012. MNCs moved their R & D centers to China (in Chinese). Nov, 19. [Cited 21 May 2013.] Available from URL: http://news.xinhuanet.com/world/2012-ll/19/c_123967606.htm Google Scholar
Yang, H., Phelps, C., & Steensma, H. K. 2010. Learning from what others have learned from you: The effects of knowledge spillovers on originating firms. Academy of ManagementJournal, 53(2): 371–389.Google Scholar
Zaheer, S. 1995. Overcoming the liability of foreignness. Academy of Management Journal, 38(2): 341–363.Google Scholar
Zaheer, S., & Mosakowski, E. 1997. The dynamics of the liability of foreignness: A global study of survival in financial services. Strategic Management Journal, 18(6): 439–463.Google Scholar
Zhang, Y., & Li, H. 2010. Innovation search of new ventures in a technology cluster: The role of ties with service intermediaries. Strategic Management Journal, 31(1): 88–109.CrossRefGoogle Scholar
Zhang, Y., Li, H., Hitt, M., & Cui, G. 2007. R & D intensity and international joint venture performance in an emerging market: Moderating effects of market focus and ownership structure. Journal of International Business Studies, 38: 944–960.Google Scholar
Zhang, Y., Li, H., & Schoonhoven, C. B. 2009. Inter-community relationships and community growth in China's high technology industries 1988-2000. Strategic Management Journal, 30(2): 163–183.Google Scholar
Zhang, Y., Li, H., Li, Y., & Zhou, L. 2010. FDI spillovers in an emerging market: The role of foreign firms' country origin diversity and domestic firms' absorptive capacity. Strategic Management Journal, 31(9): 969–989.CrossRefGoogle Scholar
Zhang, Y., Li, Y., & Li, H. Forthcoming. FDI spillovers over time in an emerging market: The roles of entry tenure and barriers to imitation. Academy of Management Journal, in press.Google Scholar
Zhao, M. 2006. Conducting R & D in countries with weak intellectual property rights protection. Management Science, 52(8): 1185–1199.Google Scholar