Technological Innovations, Multinational Corporations and the New International Competitiveness

Recent analysis of international competitiveness has helped to increase interest in technological innovation as a crucial factor determining which advantages are required in a new economic scenario. At the same time, particular attention has been devoted to the role which multinational corporations are now playing in the production of technological capabilities for the new global markets. However, little research has been done on the specific situations of intermediate countries.
The aim of this book is to contribute to a better understanding of these situations. Thus, the first part deals with new developments of conceptual tools, more adequate for the specific cases sometimes known as "in the middle of the road".
The second part consists of case studies of two main regions; on the one hand, countries of Southern Europe whose economic structures and historic trajectories show significant similarities and whose positions within the European Union face parallel changes. Although differences exist they all share important asymmetries in the process of internationalization: the presence of foreign multinational corporations is greater than the overseas presence of national firms. At the same time, they also resemble each other in their respective National Systems of Innovation. In comparison with the situation of the leading countries of the "triad", the role of explicit R&D is smaller and the sources of technological learning are based on the experience and the importation of technology. On the other hand, the most industrialized countries of Latin America are similar to the less developed European nations with respect to their international competitive situation. A central aspect to analyze is the new dynamism of foreign direct investment after a long period in which the internal difficulties entailed a withdrawal of foreign capital. The opening up process of recent years, together with renewed projects of economic integration, shape a new framework for the strategies of multinational cooperations and their relationship with local economies.