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Funding sources and the strategic roles of decentralised R&D in multinationals
Author(s) -
Papanastassiou Marina,
Pearce Robert
Publication year - 2005
Publication title -
randd management
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 1.253
H-Index - 102
eISSN - 1467-9310
pISSN - 0033-6807
DOI - 10.1111/j.1467-9310.2005.00374.x
Subject(s) - multinational corporation , interdependence , business , position (finance) , product (mathematics) , industrial organization , political science , finance , geometry , mathematics , law
This paper analyses the sources of funding accessed by laboratories of foreign multinational enterprises (MNEs) operating in the UK. The five separate sources of funding are systematically related to four different roles that such labs are seen to play. The results confirm the view that decentralised R&D in MNEs now plays significant and carefully defined roles in the technological and competitive evolution of these enterprises. The strong position of central group funds is seen to reflect two trends in the status of decentralised labs. Firstly, to support their willingness to activate strong local scientific inputs for longer‐term and speculative (risky) research programmes. Secondly, to inculcate an acceptance of individual labs to operate within interdependent networks of group operations (precompetitive research or product development).