ISSN:
1467-9310
Source:
Blackwell Publishing Journal Backfiles 1879-2005
Topics:
Economics
Notes:
At this time, following a protracted period of recession, many companies have need to add to or change their technological base. For a company whose basic business is founded on a mature technology and unlikely to recover to its former level of activity, there is need to consider the transition process into a new area of development. For companies, on the other hand, whose businesses are inherently sound but now find themselves lagging behind technologically because of cut-backs and economies in their R&D spend during the recession, some process of catching up may be necessary. In either case, internal development is a possibility but, it is argued, unlikely to be able to act fast enough or to be of sufficient magnitude to make even catching up possible. The acquisition of know-how is an alternative course of action but one which companies can be loath to follow. These statements are supported by evidence on international comparisons of R&D expenditure, and on the national ratios of royalty payments and receipts in respect of know-how. The circumstances under which companies should consider such acquisition, and the strategic considerations guiding which know-how to purchase, are discussed.
Type of Medium:
Electronic Resource
URL:
http://dx.doi.org/10.1111/j.1467-9310.1985.tb00037.x
