Explaining the Growth of International R&D Alliances in China

This paper explores two key research questions: (1) what are the growth trends of international research and development (R&D) collaborations in China; and (2) what factors determine the choice of international R&D alliance objectives in terms of a research or development orientation? It examines the rapid growth of international R&D alliances in China over the 1995–2000 period and explains multinational firms’ motivations for undertaking R&D investments there. Based on the 276 international R&D alliances established in China over the study period, the paper examines the effects of some key alliance factors such as location, nationality and nature of partners, experience of partners, and alliance structure on the choice of international R&D alliance objectives in China. The findings suggest that location, number of partner, nature of local partner, and national origin of foreign partner are significantly related to the formation of research-oriented alliances. Copyright # 2003 John Wiley & Sons, Ltd.