The Internationalization of Corporate R&D

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THE INTERNATIONALIZATION OF CORPORATE R&DLooking closer at Japanese R&D expenditure in North America, Asia and Europe from1996 to 2003, the figures show a strong increase of investments after 2000 (Figure 9-4).Investments in Asia increased dramatically (up to four times) but stayed low in absolutefigures compared to North America and Europe.Figure 9-4 Japanese R&D expenditure in North America, Asia and Europe from 1996 to2003 (in manufacturing industry).10987million dollars6543210North America Asia Europe1996 1997 1998 1999 2000 2001 2002 2003Source: METI 2003.With regard to the total number of employees (including all categories, not just R&D)working at Japanese subsidiaries in North America, Asia and Europe, the proportions areopposite (see Figure 9-5). The number of employees in Asia is many times higher thanthe total number of employees in North America and Europe together. From a historicalperspective, in the last ten years the number of employees has significantly increased inAsia. In 2003, 65 percent of the total number of employees in foreign subsidiaries workedin Asia. The number of employees in China has increased to one million in 2003, up by26 percent from the previous year. The increase was driven by good revenues in transportationmachinery (automobile) and information/communication equipment industries.212
THE INTERNATIONALIZATION OF CORPORATE R&DFigure 9-5 Comparison of the number of employees working at Japanese subsidiaries inmanufacturing and non-manufacturing industries located in three major regions: NorthAmerica, Asia and Europe.2 5002 0001000 people1 5001 00050001999 2000 2001 1999 2000 2001 1999 2000 2001North America Asia EuropeManufacturing Non ManufacturingSource: METI 2003.Figure 9-6 Development of companies’ R&D cooperation with external organizations.Overseas UniversitiesOverseas PublicOrganizationsOverseas CompaniesDomestic UniversitiesDomestic PublicOrganizationsDomestic Companies0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%percentage of companies conducting research cooperationIncrease Same Decrease Having no experiences No responseSource: METI 2003.213
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ITPS, Swedish Institute For Growth
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The Swedish Institute for Growth Po
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