Roger (Rongxin) Chen

Managing international technology transfer risk: A case analysis of U.S. high-technology firms in Asia

Abstract Using a comparative case analysis of nine U.S. high-tech manufacturers transferring technology to Asian operations through direct investments (wholly owned operations or joint ventures), we examined how they are protected against competitive loss of these technologies. We found some support for internalization theory in that companies preferred wholly owned operations as a means of protection. However, wholly owned operations were not always possible nor were they always sufficient to protect technologies. We found that companies additionally minimized transfer risks by viewing their technologies as a system, thus transferring only peripheral or dependent technologies. Further, they used prioritizing and segmenting technology levers to guard technology either in conjunction with or in lieu of entry mode.

Managing International Technology Transfer Risk: Alternatives and Complements to Ownership Structure

This exploratory study builds propositions for protecting technology when exploiting it through foreign production. It uses transaction cost as a preliminary basis to explore alternative methods to predict and assess firms’ methods of managing international technology transfer risks. It adds theoretical explanations based on the experiences of nine US high-tech companies’ entries and operations in Asia.

Corporate reputation: Pricing and competing in Chinese markets – strategies for multinationals

This article examines weaknesses of multinational corporations in China. Many multinationals target high price and high‐end segments when entering the country. This creates several problems. First, this market position makes them less sensitive to the growth opportunities in mid to low‐end segments. Second, the high price strategy provides local firms with opportunities to grow their businesses and to consolidate and increase market size in mid‐ to low‐end segments. Furthermore, the low cost strategy also helps local Chinese firms increase exports. After gaining competitive strengths, many local competitors upgrade their products and technologies to attack upper‐middle to high‐end segments, the core markets of many multinationals. This competitive dynamic suggests that multinationals should be aggressive and preemptive in monitoring local competitors in mid‐ to low‐end segments. When local firms are weak, using competitive prices is more urgent than bringing cutting edge products to the Chinese market. However, when local firms become strong competitors, though competitive prices remain important, multinationals should leverage their advanced products and technologies to compete in China. We discuss several factors contributing to the high costs of doing business in China and other factors contributing to success or failure of multinationals, such as establishing distribution channels, not ignoring the less affluent non‐central city markets, and educating the Chinese customers to create differentiated products and services.

The Cost of Doing Business Abroad in Emerging Markets and the Role of MNC Parent Companies

This study examines the impact of MNC parents on the cost of doing business abroad (CDBA) of their foreign subsidiaries in emerging markets. Based on a case research, we found that MNC HQs can influence the activity‐based CDBA of their foreign subsidiaries through policies on technology royalties, expatriate expenses, and through helping the export business of their subsidiaries. Theoretical implications of these findings are discussed.

A Synthesis of Interviews with Executives of Samsung Electronics

Samsung Electronics is a great success story in Asia and many parts of the world. To understand the company’s history, its development, and its success secrets, we wrote this report based on interviews with the managers and former executives of Samsung Electronics.

A Conversation with John “Jack” Wadsworth, Jr., Honorary Chairman of Morgan Stanley Asia

A Conversation with John “Jack” Wadsworth, Jr., Honorary Chairman of Morgan Stanley Asia. Wadsworth talks about Morgan Stanley’s experiences in doing business in Asia, both historically and currently, and talks about the different approaches in different regions of Asia.

A Conversation with Dominic Barton, Chairman of McKinsey & Company Asia‐Pacific Region

A Conversation with Dominic Barton, Chairman of McKinsey & Company Asia‐Pacific Region. Barton offers advice for MNCs on doing business in Asia, and discusses the challenges of entering the Asian market. Conversely, he also talks about Asian companies becoming global players.

An Interview with Chuck Geschke and John Warnock, Founders and Chairmen of Adobe Systems

An Interview with Chuck Geschke and John Warnock, Founders and Chairmen of Adobe Systems. Geschke and Warnock discuss their Asian operations, particularly focusing on their experiences in Japan. They also discuss competition, regulation, threats and policies relating to doing business in Asia.