Multinational enterprises (MNEs) are networked firms whose subsidiaries act as nodes embedded in a variety of local contexts. This allows them to tap into many local systems of innovation to access diverse knowledge bases and integrate them to create new competencies. Currently technology is...

Scientific research is a crucial success factor for knowledge intensive firms and is often a joint effort of scientists and managers. However, scientists and managers belong to different "professional guilds," subscribing to different belief systems and valuing different types of incentives....

Research on the geographic clustering of economic activity dates back to the early twentieth century. It is recognized that in spite of advances in transportation and communications, clustering remains most critical, and is consequently prevalent, in knowledge-intensive fields. Multinational...

The external environment is characterized by periods of relative stability interspersed with periods of extreme change, implying that high performing firms must practice exploration and exploitation in order to survive and thrive. In this paper, we posit that R&D expenditure volatility indicates...

A common view is that organizational slack diminishes firm performance by providing management the opportunity to invest in pet projects or to engage in empire-building. An opposing perspective argues that organizational slack enhances innovation by enabling firms to invest in promising new R&D...

Multinational enterprises (MNEs) consider many factors when making decisions in the context of foreign direct investment (FDI). The MNE must decide whether to diversify or to concentrate on its main line of business (LOB). It must also decide whether to enter into a foreign market through a...

Market liberalization in emerging-market economies and the entry of multinational firms spur significant changes to the industry/institutional environment faced by domestic firms. Prior studies have described how such changes tend to be disruptive to the relatively backward domestic firms, and...

The distinguished authors in this volume address the fundamental causes for such heterogeneous international experiences, placing particular emphasis on the role of institutions. They demonstrate how the study of economic development is increasingly linked to the development of institutions,...