Title: Autonomy and technological capability in joint ventures in China

Authors: Huiping Li, John Cantwell

Addresses: Anisfield School of Business, Ramapo College of New Jersey, 505 Ramapo Valley Road Mahwah, NJ 07430, USA. ' Rutgers Business School, Rutgers University, 1 Washington Park, Newark, NJ 07102-3122, USA

Abstract: China|s economic reform – started in 1979 under the new leadership of Deng Xiaoping – began a gradual movement from a centrally planned to a market economy. In the ensuing quarter century, the private business sector, including small businesses, township enterprises, and foreign-owned firms, has become the driving force behind China|s economic renaissance. Many of these local businesses have become highly innovative. Taking the perspectives of competence-based view of the firm and of organisational learning, this study examines the organisational mechanisms of the technological capability building process by studying the joint venture (JV) autonomy between the Chinese joint venture and the JV-partner|s (parent company). We found the correlation between JV autonomy and technological capability accumulation is negative and significant. However, the level of technological innovation capability is positively associated with the degree of outcome measurability.

Keywords: autonomy; technological capability; capability building; joint ventures; China; innovation; competence-based view; technological innovation.

DOI: 10.1504/IJTLID.2010.034563

International Journal of Technological Learning, Innovation and Development, 2010 Vol.3 No.2, pp.187 - 204

Available online: 07 Aug 2010 *

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