Science Research Management ›› 2012, Vol. 33 ›› Issue (5): 47-55.

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OEMs' external social capital, R&D involvement, and enterprise upgrading

Jiang Jin1,2, Sun Yanming1   

  1. 1. School of Business Administration, South China University of Technology, Guangzhou 510640,China;
    2. School of Economics and Management, Wuyi University, Jiangmen 529020,China
  • Received:2011-09-21 Revised:2012-02-15 Online:2012-05-27 Published:2012-05-20

Abstract: One of the most urgent problems needs to be currently solved in developing countries is to enhance the assumption the innovative capability of OEMs and to achieve upgrading successfully. Based on the literature review, that OEMs not only should attach importance to the inter-firm relationships, but also should attach importance to translate the technology and knowledge acquired from foreign enterprise into own innovative capacity is proposed, and the relationship among external social capital, involvement of New Product Development(NPD), and upgrading are empirically examined. The result shows that (1) OEMs' external social capital has a significant positive effect on the involvement of NPD;(2) Involvment of NPD has a significant positive effect on OEMs' process upgrading and product upgrading. (3) Involvment of NPD also has a significant positive effect on OEMs' functional upgrading, which is different from the previous study of upgrading in Global Value Chain(GVC). In the end, the conclusion that the mechanism for OEMs upgrading in developing countries is international linkage, resources leverage, and organizational learning.

Key words: OEM/ODM, external social capital, involvment of NPD, enterprise upgrading

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