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On International Technology Diffusion On International Technology Diffusion A Case Study of the Norwegian Microelectronics Industry Andreas Flåt Aglen Sondre Gullord Graff Industrial Economics and Technology Management Submission date: May 2013 Supervisor: Arild Aspelund, IØT Norwegian University of Science and Technology Department of Industrial Economics and Technology Management NTNU Det skapende universitet MASTERKONTRAKT - uttak av masteroppgave 1. Studentens personaiia Etternavn, fornavn Fødselsdato Aglen, Andreas Flat 21. jun 1989 E-post Telefon [email protected] 48196691 2. Studieopplysninger Fakultet Fakultet for Samfunnsvitenskap og teknologiledelse lnstitutt lnstitutt for industriell okonomi 09 teknologiledelse Studieprogram Hovedprofil Industriell okonomi og teknologiledelse Strategi og internasjonal forretningsutvikling 3. Masteroppgave Oppstartsdato lnnleveringsfrist 15. jan 2013 11. jun 2013 Oppgavens (foreløpige) tittel On International Technology Diffusion OppgavetekstlProblembeskrivelse The thesis will focus on the international trajectory of new technologies and innovations. The intention is to investigate the role of large and small multi-nationals (INV5), industrial districts, international spillovers, and interaction modes in international technology diffusion, and to understand how the interaction of these elements incurs broader societal effects. Particular attention will be given to the understanding of how the interaction contributes to economic development. We plan to structure our thesis according to the following: - A section describing relevant theoretical concepts: We aim at giving a thorough introduction to prevalent literature within several research areas, including international new venture theory, economic development theory, industrial district theory, and international spillover theory. - A section describing our method: We will conduct a case study, identifying a distinctive technological innovation, and map its trajectory from its inception to its current situation and influences. Multiple chains of evidence will be used. - A discussion where we seek to establish a framework for understanding the participants and trajectory of intern... Hovedveileder ved institutt Medveileder(e) ved institutt Forsteamanuensis Arild Aspelund Merknader 1 uke ekstra p.g.a pàske. Side 1 av2 4. Underskrft for mastergradsstudiet og Student: Je9 erkIrer herved at jeg har satt me inn i gjeldende bestemmelser at jeg oppfyller kravene for adgang tH a pbegynne oppgaven, herunder eventuelle praksiskrav. om generelle regler og aktuell Partene er gjort kjent med avtalens viIkr, samt kapitlene I studiehndboken studieplan for masterstudiet. Sted og dato elektroniske arkiv. Kopi av avtalen sendes til instituttet og studenten. Originalen lagres I NTNUs Side 2 av 2 NTNU Det skapende universitet SAMARBEIDSKONTRAKT 1. Studenter I samarbeidsgruppen Etternavn, fornavn Fødselsdato Aglen, Andreas FIat 21. jun 1989 Etternavn, fornavn Fødselsdato Graff, Sondre Gullord 09. jun 1989 2. Hovedvelleder Etternavn, fornavn Institutt Aspelund, Arild lnstitutt for industriell okonomi og teknologiledelse 3. Masteroppgave Oppgavens (foreløpige) tittel On International Technology Diffusion 4. Bedommelse Kandiciatene skal ha individuell bedømmelse Kandidatene skal ha felles bedømmelse ZaCL Sted og dato Originalen oppbevares p instituttet. Side 1 av 1 NTNU Det skapende universitet MASTERKONTRAKT - uttak av masteroppgave 1. Studentens personalia Etternavn, fornavn Fødselsdato Graff Sondre Gullord 09. jun 1989 E-post Telefon [email protected] 47644872 2. Studieopplysninger Fakultet Fakultet for Samfunnsvitenskap og teknologiledelse lnstitutt Institutt for industriell okonomi og teknologiledelse Studieprogram Hovedprofil Industriell okonomi og teknologiledelse Strategi og internasjonal forretningsutvikling 3. Masteroppgave Oppstartsdato lnnleveringsfrist 15.jan2Ol3 11.jun2Ol3 Oppgavens (forelopige) tittel On International Technology Ditfusion OppgavetekstlProblembeskrivelse The thesis will focus on the international trajectory of new technologies and innovations. The intention is to investigate the role of large and small multi-nationals (INVs), industrial districts, international spillovers, and interaction modes in international technology diffusion, and to understand how the interaction of these elements incurs broader societal effects. Particular attention will be given to the understanding of how the interaction contributes to economic development. We plan to structure our thesis according to the following: - A section describing relevant theoretical concepts: We aim at giving a thorough introduction to prevalent literature within several research areas, including international new venture theory, economic development theory, industrial district theory, and international spillover theory. - A section describing our method: We will conduct a case study, identifying a distinctive technological innovation, and map its trajectory from its inception to its current situation and influences. Multiple chains of evidence will be used. - A discussion where we seek to establish a framework for understanding the participants and trajectory of intern... Hovedveileder ved institutt Medveileder(e) ved institutt Forsteamanuensis Arild Aspelund Merknader 1 uke ekstra p.g.a pâske. Side 1 av 2 4. Underskrift og Student: Je9 erkIrer herved at jeg har satt me inn i gjeldende bestemmelser for mastergradsstudiet at jeg oppfyller kravene for adgang til a pbegynne oppgaven, herunder eventuelle praksiskrav. regler 09 aktuell Partene er gjort kjent med avtalens viIkr, samt kapitlene i studiehndboken om generelle studieplan for masterstudiet. Sted og dato Student Hov’edv leder arkiv. Kopi av avtalen sendes til instituttet og studenten. Originalen lagres i NTNUs elektroniske Side 2 av 2 NTNU Det skapende universitet SAMARBEIDSKONTRAKT 1. Studenter I samarbeidsgruppen Etternavn, fornavn Fødselsdato Aglen, Andreas FIat 21. jun 1989 Etternavn, fornavn Fødselsdato Graft, Sondre Gullord 09. jun 1989 2. Hovedveileder Etternavn, fornavn Institutt Aspelund, Arild lnstitutt for industriell okonomi og teknologiledelse 3. Masteroppgave Oppgavens (foreløpige) tittel On International Technology Diffusion 4. Bedommelse Kandidatene skal ha individuell bedømmelse Kandidatene skal ha felles bedømmelse fl) tedogdato Hovedv leder Originalen oppbevares p instftuttet. Side 1 av 1 Summary The study identifies two knowledge networks through which firms can identify and absorb new knowledge. One such knowledge network is nationally oriented, and constitutes of commercial and non-commercial actors situated in a domestic environment. The other network is internationally oriented, and allows national firms to tap into knowledge pools that reside in foreign countries. Research traditions have investigated these networks separately; cluster theory in particular has gotten immensely popular for its emphasis on the local knowledge network. We derive a model of international diffusion that bridges the two knowledge networks, and investigate how the process of international technology diffusion relates to the competitiveness of national industries. The model’s appropriateness is tested through a case study of the birth and growth of the Norwegian microelectronics industry. The findings suggest that firms depend on different knowledge networks through different phases of industry development. When present in international markets, firms prioritize international knowledge relations in order to be responsive to technology trends. This insight challenges the cluster theorists’ emphasis on the importance of locality, and implications for management and policy makers are discussed. I Sammendrag Denne rapporten retter fokus mot to ulike kunnskapsnettverk som bedrifter kan benytte seg av for å tilegne seg ny kunnskap. Det første er det nasjonale kunnskapsnettverket, som er forankret gjennom ulike nasjonale aktører, både de med og de uten kommersielle intensjoner. Det andre nettverket er rettet internasjonalt, og muliggjør for nasjonale bedrifter å ta til seg kunnskap fra andre land. I forskningen har disse to kunnskapsnettverkene tradisjonelt blitt analysert separat; klyngeteori har vekt spesielt stor interesse for sitt fokus på viktigheten av lokale kunnskapsnettverk. I denne rapporten utarbeider vi en modell som knytter de to kunnskapsnettverkene sammen, hvorigjennom konkurransekraften til nasjonale industrier blir analysert i lys av teknologidiffusjon på tvers av landegrenser. Gyldigheten til denne modellen er testet gjennom en case studie av livsløpet til den norske mikroelektronikkindustrien. Funnene indikerer at viktigheten av de to kunnskapsnettverkene varierer betydelig gjennom ulike faser av industriens fremvekst. I faser hvor bedrifter har betydelige aktiviteter i internasjonale markeder, tenderer bedriftene til å prioritere internasjonale kunnskapsrelasjoner, fremfor de nasjonale, for å være mest mulig responsive til teknologitrender. Den innsikten dette gir oss om kunnskapsnettverk utfordrer klyngeteoretikernes fokus på det lokale, og medfølgende implikasjoner for bedrifter og andre beslutningstagere i samfunnet blir diskutert. II Preface This thesis concludes our Master’s program in Industrial Economics and Technology Management at the Norwegian University of Science and Technology (NTNU). We have chosen to specialize in Strategy and International Business Development. The study is an attempt at bridging theories on technology diffusion across and within nations respectively. As a way to test the derived theoretical
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