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“Forced technology transfer policies”: workings in China and strategic implications

2018-09 , Prud'homme, Dan , von Zedtwitz, Maximilian , Thraen, Joachim Jan-Thomas , Bader, Martin A.

This paper evaluates the ability of “forced technology transfer” (FTT) policies – i.e., policies meant to increase foreign-domestic technology transfer that simultaneously weaken appropriability of foreign innovations – to contribute to technology transfer. We focus on transfer of frontier technology in China's newly designated “strategic emerging industries” (SEIs). Drawing on a survey of foreign firms, extensive interviews with foreign firms, and case studies of Chinese firms, we identify three categories of FTT policies in SEIs: “lose the market”, “no choice”, and “violate the law” policies. Our thematic analysis finds that FTT policies likely exert the most leverage over (i.e., force) frontier technology transfer when accompanied by seven conditions: (1) strong state support for industrial growth, (2) oligopoly competition, (3) other policies closely complementing FTT policies, (4) high technological uncertainty, (5) policy mode of operation offering basic appropriability and tailored to industrial structure, (6) reform avoidance by the state, and (7) stringent policy compliance mechanisms. We develop a Strategy & Risk Matrix to forecast the overall leverage of individual FTT policies. We conclude that Chinese FTT policies may enable domestic acquisition of frontier foreign technology if all seven conditions determining policy leverage are fully exploited by the state. However, if this is not the case, the policies have weaker leverage and may even discourage technology transfer.

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SAP: Global Intellectual Property Management in the Software Industry Sector

2008 , Heuser, Lutz , Bader, Martin A. , Boutellier, Roman , Gassmann, Oliver , von Zedtwitz, Maximilian

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Swiss Re: Global Intellectual Property Management in the Financial Services Industry

2008 , Bader, Martin A. , Cuypers, Frank , Boutellier, Roman , Gassmann, Oliver , von Zedtwitz, Maximilian

The Swiss Reinsurance Company (Swiss Re) is one of the leading reinsurance organizations, and the world’s largest life reinsurer. Swiss Re was founded in 1863 in Zurich. Today, the company has more than 70 offices in 30 countries worldwide. Swiss Re has maintained the highest official security rating, “AAA”, for decades. The reinsurance business is about insuring primary insurance companies, and therefore a business-to-business activity. The insurance business is based on managing the volatility of risks, i.e. to decrease probability of ruin, decrease tax burdens and cost of capital, and to secure returns to shareholders. Traditional reinsurance products therefore cover the entire spectrum of underwriting risk in the life and non-life areas. Examples of such products include accident, property, third party, car, and travel insurance. In addition, Swiss Re offers insurance-based solutions for enterprise financing and support services for risk management (Swiss Re 2004b). To absorb risk volatility without endangering itself as a reinsurance company, Swiss Re has to be big, diversified and — most importantly — has to understand the insured risks. These three aspects drive globalization. Swiss Re runs three divisions: Property & Casualty, Life & Health, and Financial Services, offering a wide variety of products and services to help manage capital and risk. The business group Property & Casualty offers “non-life” reinsurance products as they are termed, Life & Health contains products related to human life, and Financial Services is responsible for investments, credit and art. There is also a Corporate Center that hosts an IT group, a finance group and the Group Intellectual Property Department.

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Establishing Foreign R&D Units: The Case of Small Multinational Corporations (sMNCs) in China

2017-07-04 , von Zedtwitz, Maximilian , Bader, Martin A. , Fracaro, Markus

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Swiss Re: Global Intellectual Property Management in the Financial Services Industry Sector

2008 , Bader, Martin A. , Cuypers, Frank , Boutellier, Roman , Gassmann, Oliver , von Zedtwitz, Maximilian

Case study on Swiss Re concerning its management practices concerning intellectual property