Meeting the challenge of offshoring R&D: an examination of firm‐ and location‐specific factors

Abstract

This paper, through a systematic survey of 83 international R&D engagements of 36 German MNCs, seeks to extend previous research on the location decisions of international R&D engagements and inform managers about the critical factors that may be considered when taking this important decision. Covering engagements in 21 countries, we show that the knowledge intensity of the industry as well as variables pertaining to the process school of internationalization play an important role when offshoring R&D.

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