What Drives Technology Innovation Among The Emerging Chinese Enterprises?

In the light of rapid development of technology/knowledge intensive firms arising from the emerging economy of China in recent time, this paper is aimed at developing an analytical framework, based on the institutional theory and resource-based view, to evaluate the drivers and antecedents of technology innovation among Chinese emerging multinational enterprises (MNEs). Use of case study approach, the study examined two large Chinese enterprises in Wuhan and found that a linear sequential pattern of technology innovation did not apply. In contrast, two enterprises investigated tended to combine several types of innovation (strategic cost, organisational and operational innovation) to manage their internal capabilities and other organisational activities and routines to change, learn, adapt and create technology innovation. Our finding in this study also suggests that the key factor for Chinese firms to be innovative is more internally driven by several human resource management strategies that helped build technological capabilities effectively. Main implications of this study are that organisational human resource managers, technology and system designers should work together to design and develop enterprise management systems conducive to enhance both technology and human creativity for emerging Chinese multinational enterprises.