The R&D Globalization Of TNCs And Technology Progress Of Developing Countries

Along with the science progressing by leaps and bounds, economy & information globalization, the R&D activities of multinational corporations (TNCs) are turning dispersedly and globally. The target of R&D globalization is to establish R&D network and cooperate with others in the scope of world. Therefore, some developing countries (particularly the big developing countries) are brought into the R&D system of TNCs and become one important part of its R&D strategy. Because of the predominant position in technology of TNCs, developing countries also recognize that it's very important to attract TNCs' R&D investments and participate in the R&D network for technical progress and development of economy. But for developing countries, the R&D strategy of TNCs is a sword with two blades, including gains and losses. On the advantageous hand, TNCs promote the technical progress of developing countries through some ways, for example, technology transfer, technology spilling, technology cooperation and technology creation etc. On the disadvantageous hand, developing countries depend on TNCs' technology deeply and may sink into more passive situation in the technology field .The gap between the developing countries and TNCs expands further. Facing the trend of R&D globalization of TNCs, the developing countries need take part in the world R&D network positively. At the same time, they need open an independent way to advance the technology and get away from the technological control of TNCs. China is a big developing country. It not only has booming economy and a big potential market, but also has rich R&D resources and good R&D foundation facilities. Now China has attracted a larger mount of TNCs investment. Under the influence of R&D globalization of TNCs, China has made huge progress in technology and science. However, the final target of TNCs is to obtain the superior profits, rather than promote the technology. So China are faced with the same problem like other developing countries—how to deal with the challenge of the R&D globalization. The thesis thinks that it should be analyzed with both sides from the macro and micro view. On the macroscopical level, how the government makes use of the policy to develop the education, the reform of the system of enterprise and science section, the foundation facilities. On the microcosmic level, how the business enterprises promote their innovative abilities, actively expand the oversea R&D investments. This paper gives some specific advices to consult and deliberate.