The acquisition of tacit knowledge in China: An empirical analysis of the ‘supplier-side individual level’ and ‘recipient-side’ factors

Abstract

■ This study examines the impact of 'supplier-side individual level' factors pertaining to foreign expatriates, e.g., individual embeddedness and motivation, as well as a number of recipient-side variables, on tacit knowledge acquisition by Chinese firms through joint ventures.■ Results indicate that individual embeddedness of foreign expatriates, and recipient-side variables such as recipient's collaborativeness, its readiness, and the comprehensiveness of its acquisition methods play critical roles in the successful acquisition of tacit knowledge. Key Results■ Establishing individual embeddedness for foreign expatriates in the joint venture is vital for Chinese firms to acquire tacit knowledge from their foreign partners.

Empirical Investigation on the Effects of Inter-Firm Technology Transfer Characteristics on Degree of Inter-Firm Technology Transfer: A Holistic Model

“…RCOL is closely related to the recipient's learning intent (competitive vs. collaborative intent). The technology recipient firm's willingness to establish a mutually beneficial and collaborative relationship requires the recipient firm's honest intention to create common benefits for both JV partners (Yin and Bao, 2006). Studies on inter OL have suggested that cooperative/collective learning encourages the alliance partners to work together by sharing their knowledge, benefit each other's complementarities and provide mutual opportunities to extract potential synergies between their respective competencies (Doz, 1996;Geringer, 1991).…”

“…This study measures RCOL in terms of the local partner firms' learning intent and their collaborative attitudes by using a five (5) items scale in terms of 1) the local partner's learning objective, 2) the local partner's desire, determination and will to learn from foreign partner, 3) the technology-recipient's willingness to allow foreign partner to inspect and monitor the use of knowledge acquired from JV, 4) the local partner's commitment not to compete directly with the foreign partner in the future, and 5) the local partner's commitment in sharing with the foreign partner the benefits of the critical knowledge acquired from the JV (Yin and Bao, 2006;Thuc Anh et al, 2006;Hamel, 1991;Simonin, 2004). The Cronbach Alpha for RCOL was higher (0.92) than Yin and Bao's (2006) Cronbach Alpha (0.71).…”

“…Transferring technologies within IJVs have also been subjected to various facilitators, actors and complicated relationship between partners (Szulanski, 1996); which eventually have direct impact on the degree or amount of technology transferred in JVs. The current issue on inter-firm technology transfer (TT) in the developing countries is centered on the efficiency and effectiveness of the transfer process by the multinationals (MNCs) (Pak and Park, 2004;Yin and Bao, 2006). Studies from knowledge-based view (KBV) perspective have acknowledged that MNCs tend to be more protective of their advance technology, knowledge and competencies embodied in products, processes and management because these strategic valuable resources and competencies are their main sources of competitive advantage (Porter, 1985;Barney, 1991;Peteraf, 1993;Wernerfelt, 1984;Pralahad and Hamel).…”

“…Since many studies on inter-firm TT are theoretical (Hamel, 1991;Inkpen, 1998a;Inkpen and Dinur, 1998) and have exclusively focused on a single or few dimensions of TT determinants (Pak and Park, 2004;Yin and Bao, 2006;Hau and Evangelista, 2007) there is a need for more hypothesis development and testing (Huber, 1991;Fiol, 1994). Based on a literature review, studies have shown that possibly there are no empirical studies on inter-firm TT and KT that have simultaneously examined the four TT characteristics: knowledge (KCHAR), technology recipient (TRCHAR), technology supplier (TSCHAR), and relationship (RCHAR) characteristics in a single model.…”

“…In the context of marketing knowledge acquisition, Hau and Evangelista (2007) examined the effect of knowledge seekers, knowledge holders, and contextual factors on explicit and tacit knowledge acquisition through IJVs in Vietnam. Recent studies have also highlighted that empirical examination of the determinants of cross-border knowledge transfer from MNCs to local firms has been a phenomenon which has not been extensively researched (Pak and Park, 2004;Yin and Bao, 2006). Lai and Narayanan (1996) have stressed the need to systematically investigate the level of technology that is being transferred by MNCs to local industries.…”