1、Chapter 10Technological EnvironmentLearning objectivesappreciate the role of technological change in economic progressunderstand the main aspects where technology has effect on business have some knowledge about technology transferknow the ways of altering a countrys technological environmentText: T

2、echnological EnvironmentKondatriev: 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. Brookes and Guile: technology trends and advances are re-configuring

3、the location, ownership and management of various types of productive activity amongst countries and regions The impact of technology upon international businessTransportation and communicationThe impact of transportation technology on international business has been to aid industrial relocation on

4、a global scale. The time period required to send data from one side of the world to the other has shrunk to almost nothing. The developments in communications technology have served as a catalyst to aid the process of growth of multinational companies. The impact of technology upon international bus

5、inessProduct and process innovationTechnology also has an effect on both production processes and product design and specification. FMS via CNC and CAD-CAM The use of FMS offers the potential to move production away from the old high volume, standardised approach, into an environment in which machin

6、es are multipurpose, or flexible. It also offers benefits in terms of product design. The impact of technology upon international businessSales and marketingInternational product promotion has been made much easier by the growth of importance of electronic media. Radio and television advertising, vi

7、a satellite and cable, offers the potential to simultaneously access huge numbers of potential customers across many different countries. Electronic selling via the Internet or interactive television has revolutionary potential. Determinants of one countrys technological environmentAs for individual

8、 countries, the foundation of a countrys technological environment is its resource base. The availability or unavailability of resources affects what products are made in a give country. Determinants Investment Investments in infrastructure and human capital have allowed developed countries to conti

9、nue prospering in world markets despite the high wages paid to workers in those countries. Invest in infrastructure to make producing and distributing products easier. Invest in human capital to improve the productivity and efficiency of workforces. Determinants Technology transfer: the transmittal

10、of technology from one country to another by encouraging foreign direct investment (FDI) e.g. Hungary and Poland by 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 and ChinaDeterminants Intell

11、ectual property rightsIntellectual 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 property can quickly be damaged unle

12、ss countries enforce ownership rights of firms. International treaties on IP rightsthe International Convention for the Protection of Industrial Property Rights (the Paris Convention)the Berne Convention for the Protection of Literary and Artistic Works, the Universal Copyright Conventionthe Trade-R

13、elated Intellectual Property Rights agreement (part of the Uruguay Round) Less protection, more costsWeak protection for intellectual property rights can have high costs for international businesses. technology is allowing pirates to move faster than ever. Conflicts of IP rights Intellectual propert

14、y laws are not consistent: “first to invent” vs. “fist to file” Differences in patent practices: minor modification vs. major improvement Registration of trademarks and brand names can also cause problems. Administrative delays may also hurt the rights of intellectual property owners. Key termsIndus

15、trial revolution 工業(yè)革命Economic cycle 經(jīng)濟(jì)周期Information flow 信息流Technology transfer 科技轉(zhuǎn)移Technology know-how 技術(shù)訣竅Interllectual property rights 知識(shí)產(chǎn)權(quán)Patent 專利Summary of key points (1)The impact of technology upon international business can be classified under three separate headings covering organisational

16、 issues of transportation and communication, product and process innovation, and sales and marketing, respectively.As for individual countries, the foundation of a countrys technological environment is its resource base. Countries may change or shape their technological environments through investme

17、nts.Summary of key points (2)Another means for altering a countrys technological environment is technology transfer, the transmittal of technology from one country to another.An improtant determinant of a countrys technological environmentis the degree of protection that its laws offer intellectual

18、property rights.Registration of trademarks and brand names can also cause problems for international businessed.Administrative delays may also hurt the rights of intellectual property owners.Comprehension questions Please classify the impact of technology on international business into three catalog

19、ues.Whats the foundation of a countrys technological environment?Name two ways of altering a countrys technological environment.Whats intellectual property rights?Can administrative delays hurt the right of intellectual property owners? If yes, give some examples. Apply your understanding Access the

20、 differences in national innovation systems and the ways in which government policies are relevant to technological innovation.Describe a case and use product life cycle theory to analyze it.Whats your understanding of the relation between education and innovation?Essay QuestionGoogle is facing grow

21、ing 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, attacking the internet company over its cavalier approach. Is Google

22、 wrong to publish copyrighted content online? Answer the above question by writing an essay.ActivityMicrosoft has made an unsolicited $44.6 billion bid for Yahoo. Its stated aims are to compete better with Google in online advertising, improve innovation and release $1 billion a year in synergies. W

23、ould 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-CounterpointDifferent viewpoint on information technology forumPOINT James Boyle: there is a need to experiment with supplements and alternatives to the pate

24、nt system. New 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. If new ideas arent protected.they could simply sit on the shelf and collect dust.COUNTERPOINTIt is important that other inc

25、entive options be explored to address those short-comings of the patent system. There is an ideological group working closely with the IGWG to attack large corporations. They see this not as an opportunity to create new and innovative incentives for research but as a way to prevent large corporations from continuing to profit off their inventions. Case: India: A New Tiger Economy? To what extent does Indias embrace of the new economy provide an engine for economic growth?Is India on the way to becoming a new tiger economy? Discuss in groups.What ar