The Influences Of Knowledge Flow From Firms Of Host Country To Multinational Subsidiaries

Enterprises should improve capability of innovation to enhance market competition. Limited by enterprises’ knowledge storage, improvement of innovation capability largely depended on external knowledge flow. Multinational subsidiaries were linkage of the international knowledge, and the international knowledge flow could help countries and enterprises absorb international advanced knowledge. Based on the absorptive theory and the diffusion of innovation theory, this paper analyzed the influences of knowledge flow from firms of host country to multinational subsidiaries. At first, based on the two theories above, this paper put forward five possible influences:knowledge’s non-replication of the sender, knowledge’s relevance between the sender and the receiver, knowledge’ s concealment of the sender, research productivity of the receiver and performance of the receiver. According to the results of data analysis, there was a positive correlation between knowledge’s non-replication of the sender and the knowledge flow, and there was a negative correlation between knowledge’s concealment of the sender and the knowledge flow. The rest of the influences were uncorrelated to the knowledge flow. Beyond that, the samples had been classified into three types: company type, industry type and district type. After data analysis and compare of the three types, this paper was more instructive and meaningful.