New Insights on Innovation by firms in emerging economies: Implications for international business theory and practice

Abstract

A key theme in contemporary international business (IB) and strategy research relates to understanding developing economies in general and emerging economies in particular, and the dynamics of firms that operate in these economies. Despite constrained ownership- and locational advantages, several emerging economy firms (EMFs) have been able to engage in high quality innovations at low costs. Scholarly interest in understanding how EMFs engage in innovation is growing. However the stream of research is still relatively thin. The purpose of the proposed panel is to share with the AIB members insights on how EMFs actually engage in innovative activities. The panel members will share new insights on (a) how firms in Africa innovate in relatively non-traditional ways, (b) cross-national comparison of innovation and technology development in emerging economies, (c) development of socially-focused innovative products by MNE in healthcare sector, and (d) brain return, reverse brain drain and innovation in emerging economies. The insights will shed new light and help conference participants better understand how innovation is fostered in emerging economies and undertaken by EMFs. We hope the insights will enable developing new IB theories on innovation and evolution of MNEs. We also hope that the insights will facilitate managerial practice.