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1、Chapter 10Technological EnvironmentLearning objectivesFappreciate the role of technological change in economic progressFunderstand the main aspects where technology has effect on business Fhave some knowledge about technology transferFknow the ways of altering a countrys technological environmentTex
2、t: Technological EnvironmentFKondatriev: economic cycles of prosperity, recession, depression and recovery tend to operate over fifty-year time scales termed Kondatriev waves, and the waves are linked to phases of technological change. FBrookes and Guile: technology trends and advances are re-config
3、uring the location, ownership and management of various types of productive activity amongst countries and regions The impact of technology upon international businessFTransportation and communicationFThe impact of transportation technology on international business has been to aid industrial reloca
4、tion on a global scale. FThe time period required to send data from one side of the world to the other has shrunk to almost nothing. FThe developments in communications technology have served as a catalyst to aid the process of growth of multinational companies. The impact of technology upon interna
5、tional businessFProduct and process innovationFTechnology also has an effect on both production processes and product design and specification. FFMS via CNC and CAD-CAM FThe use of FMS offers the potential to move production away from the old high volume, standardised approach, into an environment i
6、n which machines are multipurpose, or flexible. It also offers benefits in terms of product design. The impact of technology upon international businessFSales and marketingFInternational product promotion has been made much easier by the growth of importance of electronic media. FRadio and televisio
7、n advertising, via satellite and cable, offers the potential to simultaneously access huge numbers of potential customers across many different countries. FElectronic selling via the Internet or interactive television has revolutionary potential. Determinants of one countrys technological environmen
8、tFAs for individual countries, the foundation of a countrys technological environment is its resource base. FThe availability or unavailability of resources affects what products are made in a give country. Determinants FInvestment FInvestments in infrastructure and human capital have allowed develo
9、ped countries to continue prospering in world markets despite the high wages paid to workers in those countries. FInvest in infrastructure to make producing and distributing products easier. FInvest in human capital to improve the productivity and efficiency of workforces. Determinants FTechnology t
10、ransfer: the transmittal of technology from one country to another Fby encouraging foreign direct investment (FDI) e.g. Hungary and Poland Fby requiring companies eager to access a countrys resources or consumers to transfer technology as a condition for operating in that country e.g. Saudi Arabia a
11、nd ChinaDeterminants FIntellectual property rightsFIntellectual propertypatents, copyrights, trademarks, brand names, and so forthis an important asset of most MNCs. It often forms the basis of a firms competitive advantage/core competency in the global marketplace. The value of intellectual propert
12、y can quickly be damaged unless countries enforce ownership rights of firms. International treaties on IP rightsFthe International Convention for the Protection of Industrial Property Rights (the Paris Convention)Fthe Berne Convention for the Protection of Literary and Artistic Works, the Universal
13、Copyright ConventionFthe Trade-Related Intellectual Property Rights agreement (part of the Uruguay Round) Less protection, more costsFWeak protection for intellectual property rights can have high costs for international businesses. Ftechnology is allowing pirates to move faster than ever. Conflicts
14、 of IP rights FIntellectual property laws are not consistent: “first to invent” vs. “fist to file” FDifferences in patent practices: minor modification vs. major improvement FRegistration of trademarks and brand names can also cause problems. FAdministrative delays may also hurt the rights of intell
15、ectual property owners. Key termsFIndustrial revolution 工业革命FEconomic cycle 经济周期FInformation flow 信息流FTechnology transfer 科技转移FTechnology know-how 技术诀窍FInterllectual property rights 知识产权FPatent 专利Summary of key points (1)FThe impact of technology upon international business can be classified under t
16、hree separate headings covering organisational issues of transportation and communication, product and process innovation, and sales and marketing, respectively.FAs for individual countries, the foundation of a countrys technological environment is its resource base. FCountries may change or shape t
17、heir technological environments through investments.Summary of key points (2)FAnother means for altering a countrys technological environment is technology transfer, the transmittal of technology from one country to another.FAn improtant determinant of a countrys technological environmentis the degr
18、ee of protection that its laws offer intellectual property rights.FRegistration of trademarks and brand names can also cause problems for international businessed.FAdministrative delays may also hurt the rights of intellectual property owners.Comprehension questions FPlease classify the impact of te
19、chnology on international business into three catalogues.FWhats the foundation of a countrys technological environment?FName two ways of altering a countrys technological environment.FWhats intellectual property rights?FCan administrative delays hurt the right of intellectual property owners? If yes
20、, give some examples. Apply your understanding FAccess the differences in national innovation systems and the ways in which government policies are relevant to technological innovation.FDescribe a case and use product life cycle theory to analyze it.FWhats your understanding of the relation between
21、education and innovation?Essay QuestionFGoogle is facing growing criticism over its approach to copyrighted content. Microsoft is the latest company to accuse it of exploiting books, music, films and television programs without permission with Tom Rubin, Microsofts associate general counsel, attacki
22、ng the internet company over its cavalier approach. Is Google wrong to publish copyrighted content online? FAnswer the above question by writing an essay.ActivityFMicrosoft has made an unsolicited $44.6 billion bid for Yahoo. Its stated aims are to compete better with Google in online advertising, i
23、mprove innovation and release $1 billion a year in synergies. Would a takeover be good for web users? Would it be good for investors? Discuss in groups and share your opinions on the above questions. Point-CounterpointFDifferent viewpoint on information technology forumPOINT FJames Boyle: there is a
24、 need to experiment with supplements and alternatives to the patent system. FNew IP protection schemes or patent alternatives should be handled by the competent national experts while fully exploring all the pros and cons of the new policies. FIf new ideas arent protected.they could simply sit on th
25、e shelf and collect dust.COUNTERPOINTFIt is important that other incentive options be explored to address those short-comings of the patent system. FThere is an ideological group working closely with the IGWG to attack large corporations. They see this not as an opportunity to create new and innovat
26、ive incentives for research but as a way to prevent large corporations from continuing to profit off their inventions. Case: India: A New Tiger Economy? FTo what extent does Indias embrace of the new economy provide an engine for economic growth?FIs India on the way to becoming a new tiger economy?
27、Discuss in groups.FWhat are the factors that prevent India from more rapid growth in economics?WebalertFText and discussion of TRIPS may be found at wto.org/english/tratop。FThe website for WIPO is wipo.int/ , Information on the PCT may be found here.FThe website of the UK Patent Office is patent.gov
28、.ukFThe US Patent and Trademark Office is at uspto.govFThe European Union e-commerce units website is ispo.cec.be/ecommerce/Further readingFArchibugi, D. and Michie, J. (2019) Technology, Globalizations and Economic Performance.FCambridge: Cambridge University Press.FCastells, M. (2000). The Rise of the Network Society, 2nd edn. Oxford: Blackwell.FFreeman, C. and Soete, L. (2019). The Economics of Industrial Innovation, 3rd edn. London: Cassell.Thank You!
