Cross-border R

The conventional viewpoints stress on the key contribution of technology transfer from the core industrial countries, such as the US and Japan, to the developing ones, such as Taiwan. Against the perspective, this research will try to demonstrate the possibilities of the latecomer firms could actively set up R&D center in the knowledge-rich regions to tap into the local tacit knowledge.

Besides, the firms possibly take advantage of the emerging market and the ample pool of high-quality talents, such as China, to enhance their technological capabilities. By doing so, the firms are able to exploit the divergent external resources in each region, and transfer the embedded knowledge and technology back to their parent firms in Taiwan. To attack the issues, this research will deal with two main theories in economic geography and international business: one thread on the internationalization (globalization) of R&D activities, another on the role of geographical proximity in technology diffusion.