Institutional Differences, Foreign Ownership Modes, Marketing Capabilities and Domestic Technological Catch-up: Evidence from India

SONG, Yang, KONWAR, Ziko and BERGER, Ron (2019). Institutional Differences, Foreign Ownership Modes, Marketing Capabilities and Domestic Technological Catch-up: Evidence from India. Science, Technology and Society, 24 (2), 338-364.

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Abstract

© 2019 SAGE Publications. This research examines FDI-mediated domestic firms’ technological catch-up by considering institutional differences between home and host countries, the role of marketing capabilities, and the joint effects of institutional differences and the degree of foreign ownership. Using firm-level panel data for Indian manufacturing industries, we find that FDI-mediated technological catch-up in domestic firms is conditional on institutional differences between the home and host country of multinational enterprises and the level of marketing capabilities of foreign-owned affiliates. In addition, we find that technological catch-up in domestic firms is likely to be positively influenced by the presence of wholly foreign-owned firms from institutionally close countries, whereas we find some evidence that the presence of minority foreign-owned firms may have a negative effect on domestic technological catch-up, regardless of institutional differences. We also provide theoretical and policy implications of our findings.

Item Type:	Article
Uncontrolled Keywords:	Foreign ownership modes; India; institutional differences; marketing capabilities; technological catch-up; Foreign ownership modes; India; institutional differences; marketing capabilities; technological catch-up; 1608 Sociology; Science Studies
Identification Number:	https://doi.org/10.1177/0971721819842010
Page Range:	338-364
SWORD Depositor:	Symplectic Elements
Depositing User:	Symplectic Elements
Date Deposited:	11 Oct 2019 10:28
Last Modified:	18 Mar 2021 03:26
URI:	https://shura.shu.ac.uk/id/eprint/25204

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