International Entrepreneurship and Technology Transfer: The CDM´s Reality in China

Aleluia, João and Leitão, João (2009): International Entrepreneurship and Technology Transfer: The CDM´s Reality in China.

Abstract

Entrepreneurship as a determinant of economic growth and innovation intensity has been increasingly used by governments for shaping public policies with sustainable development purposes. This chapter positions the Clean Development Mechanism as an example of an international technology transfer mechanism that can stimulate knowledge spillovers in the host economies. Taking as reference the Chinese context, a benchmarking approach is proposed to assess the performance of distinct mechanisms of climate friendly technology transfers. This is particularly relevant since it is an innovative attempt for addressing the caveat found in the literature of international entrepreneurship and technology transfer, especially focused in the need for developing both qualitative and quantitative analyses about distinct experiences in adopting technology transfer mechanisms into developing countries. This is useful not only in the scope of global efforts to mitigate the emission of greenhouse gases, but also in the accomplishment of sustainable development goals of host economies. Moreover, from the current proposal an operative tool is derived for guiding the action of policy makers, managers and practitioners engaged in the field of Energy Entrepreneurship.

• Item Type: MPRA Paper
• Language: English
• Keywords: Benchmarking; Clean Development Mechanism; CDM, International Entrepreneurship; Technology Transfer.
• Subjects: O - Economic Development, Innovation, Technological Change, and Growth > O3 - Innovation ; Research and Development ; Technological Change ; Intellectual Property Rights > O34 - Intellectual Property and Intellectual Capital; F - International Economics > F2 - International Factor Movements and International Business > F23 - Multinational Firms ; International Business; L - Industrial Organization > L2 - Firm Objectives, Organization, and Behavior > L26 - Entrepreneurship; L - Industrial Organization > L2 - Firm Objectives, Organization, and Behavior > L24 - Contracting Out ; Joint Ventures ; Technology Licensing

References

Acs, Z. (2006), “How is Entrepreneurship Good for Economic Growth?”, Innovations, 1(1): 97-107.

Acs, Z.; Dana, L.-P.; Jones, M. (2003), “Toward New Horizons: the Internationalization of Entrepreneurship”, Journal of International Entrepreneurship, 1(1): 5-12.

Acs, Z.; Varga, A. (2005), “Entrepreneurship, Agglomeration and Technological Change”, Small Business Economics, 24(3): 323-334.

Acs, Z.; Szerb, L. (2006), “Entrepreneurship, Economic Growth and Public Policy”, Small Business Economics, 28(2): 109-122.

Andersen, S. O.; Sarma, K. M.; Taddonio; K. N.(2007), “Technology Transfer for the Ozone Layer: Lessons for Climate Change”, Earthscan, London.

Audretsch, D. B. (2002), “Entrepreneurship: A Survey of the Literature”, European Commission, http://ec.europa.eu/enterprise/entrepreneurship/green_paper/literature_survey_2002.pdf,[Accessed: 12.01.09].

Audretsch, D.; Bozeman, B.; Combs, K.; Feldman, M.; Link, A.; Siegel, D.; Stephan, P.; Tassey, G.; Wessner, C.(2002), "Economics of Science and Technology", Journal of Technology Transfer, 27(2): 155-203.

Audretsch, D. (2007), “The Entrepreneurial Society”, Oxford University Press, USA.

Autio, E.; Laamanen, T. (1995), "Measurement and evaluation of technology transfer: review of technology transfer mechanisms and indicators", International Journal of Technology Management, 10(7/8): 643-664.

Barney, J. (1991), “Firm Resources and Sustained Competitive Advantage”, Journal of Management, 17(1): 99-120.

Bell, M. (1987), “The Acquisition of Imported Technology for Industrial Development: Problems of Strategies and Management in Arab Region”, ESCWA, UN: 13-29.

Bell, J.; McNaughton, R.; Young, S.; Crick, D.(2001), “’Born-again global’ firms – An extension to the ‘born-global’ phenomenon”, Journal of International Management, 7(4): 173-189.

Bozeman, B.; Link, A. N. (1983), “Investments in Technology: Corporate Strategies and Public Policy Alternatives”, Praeger Publishers, New York.

Castro, P.; Michaelowa, A. (2008). “Empirical Analysis of Performance of CDM Projects”, Climate Strategies, http://www.indiaenvironmentportal.org.in/files/empirical-done.pdf [Accessed: 12.11.08].

Chandra, R.; Newburry, W. (1997), “A Cognitive Map of the International Business Field”, International Business Review, 6(4): 387-410.

Coase, R. (1937), “The Nature of the Firm”, Economica, 4: 386-405.

Cohen, B.; Winn, M. I. (2007), “Market imperfections, opportunity and sustainable entrepreneurship”, Journal of Business Venturing, 22(1): 29-49.

ConneIl, D. (1987), “Bridging the gap between academic researchers and industrial corporations”, Industrial Management & Data Systems, 87(1/2): 19-24.

Coviello, N.; Munro, H. (1997), “Network relationships and the internationalisation process of small software firms”, Journal of Business Venturing, 6(4): 361-386.

Dechezleprêtre, A.; Glachant, M.; Ménière, Y. (2008), “The Clean Development Mechanism and the international diffusion of technologies: An empirical study”, Energy Policy, 36(4): 1273-1282.

Dechezleprêtre, A.; Glachant, M.; Ménière, Y.(2009), “Technology transfer by CDM projects: A comparison of Brazil, China, India and Mexico”, Energy Policy, 37(2): 703-711.

de Connick, H.; Fischer, C.; Newell, R.; and Ueno, T.(2008), “International technologyoriented agreements to address climate change”, Energy Policy, 36(1): 335-356.

Dean, T. J.; McMullen, J. S. (2007), “Toward a theory of sustainable entrepreneurship: Reducing environmental degradation through entrepreneurial action”, Journal of Business Venturing, 22(1): 50-76.

Deutsche Bank (2008), “Investing in Climate Change 2009”, Deutsche Bank Advisors, http://dbadvisors.com/climatechange, [Accessed: 12.11.08].

Dimitratos, P.; Plakoyiannaki, E. (2003), “Theoretical Foundations of an International Entrepreneurial Culture”, Journal of International Entrepreneurship, 1(2): 187-215.

Dimitratos, P.; Johnson, J.; Slow, J.; Young, S.(2003), “Micromultinationals: New Types of Firms for the Global Competitive Landscape”, European Management Journal, 21(2): 164-174.

Dimitratos, P.; Jones, M. (2005), “Future directions for international entrepreneurship research”, International Business Review, 14(2): 119-128.

Doranova, A.; Costa, I.; Duysters, G. (2009), “Knowledge Base Determinants of Technology Sourcing in the Clean Development Mechanism Projects”, UNU-MERIT Working Paper Series, http://www.merit.unu.edu/publications/wppdf/2009/wp2009- 015.pdf, [Accessed: 02.04.09].

Duanmu, J.-I.; Fai, F. M. (2007), “A processual analysis of knowledge transfer: From foreign MNEs to Chinese suppliers”, International Business Review, 16(4): 449-473.

Ellis, J.; Winkler, H.; Corfee-Morlot, J.; Gagnon-Lebrun, F. (2007), “CDM: Taking stock and looking forward”, Energy Policy, 35(1): 15-28.

EU Commission (2003), “Green Paper: Entrepreneurship in Europe”, Enterprise Publications, http://ec.europa.eu/enterprise/entrepreneurship/green_paper/index.htm, [Accessed: 19.02.09].

EU‐China CDM Facilitation Project (2009), “The Pre‐2012 CDM Market in China: Policy Context and Current Developments”, EU‐China CDM Facilitation Project, http://www.euchina-cdm.org/media/docs/EUChina%20CDM%20Project%20The%20Pre_2012%20CDM%20Market%20in%20China%2020090415.pdf, [Accessed: 19.04.09].

Foss, N. (1997), “Austrian Economics and the Theory of the Firm”, IVS/CBS Working Papers 97-3, http://ideas.repec.org/p/ivs/iivswp/97-3.html, [Accessed: 16.02.09].

Gabrielsson, M.; Kirpalani, V. (2004), “Born globals:how to reach new business space rapidly”, International Business Review, 13(5): 555-571.

Gabrielsson, M.; Kirpalani, V.; Dimitratos, P.; Solberg, C.; Zucchella, A. (2008), “Born globals: Propositions to help advance the theory”, International Business Review, 17(4): 385-401.

Gilroy, M.; Baier, M.; Elmer, L.; (2008), “Small- and Medium-sized Enterprises (SMEs) in internationally operating R&D networks: recent findings and trends”, International Journal of Globalisation and Small Business, 2(3): 325-341.

Global Environmental Facility (GEF) (2009), “What is the GEF?”, Global Environmental Facility, http://www.gefweb.org/interior_right.aspx?id=50, [Accessed: 02.04.09].

Graham, E. M. (1982), “The terms of transfer of technology to the developing nations: a survey of the major issues”, OECD, North/South Technology Transfer, OECD, Paris.

Grant, R. M. (2002), “’The Knowledge-Based View of the Firm’, in “The Strategic Management of Intellectual Capital and Organizational Knowledge”, Oxford University Press, Oxford.

Grilo, I.; Thurik, R. (2004), “Determinants of Entrepreneurship in Europe”, Erasmus Research Institute of Management: Report Series Research in Management, http://papers.ssrn.com/sol3/papers.cfm?abstract_id=636815, [Accessed: 20.02.09].

Haites, E.; Duan, M.; Seres, S. (2006), “Technology transfer by CDM projects”, Climate Policy, 6(3): 327-344.

Hashai, N.; Almor, T. (2004), “Gradually internationalizing ‘born global’ firms: an oxymoron?”, International Business Review, 13(4): 465-483.

Hu, A. G.Z.; Jefferson, G. H.; Jinchang, Q. (2005), “R&D and Technology Transfer: Firm-Level Evidence from Chinese Industry”, Review of Economic and Statistics, 87(4).

Intergovernmental Panel on Climate Change (IPCC):(2001), “IPCC Special Report: Methodological and Technological Issues in Technology Transfer: Summary for Policymakers”, IPCC, http://www.ipcc.ch/pdf/special-reports/spm/srtt-en.pdf, [Accessed:31.10.08].

Intergovernmental Panel on Climate Change (IPCC):(2007), “IPCC Fourth Assessment Report: Climate Change 2007: Synthesis Report”, IPCC, http://www.ipcc.ch/ipccreports/assessments-reports.htm, [Accessed: 12.12.08].

Intergovernmental Panel on Climate Change (IPCC):(2009), “About IPCC”, IPCC, http://www.ipcc.ch/about/index.htm, [Accessed: 10.04.09].

International Energy Agency (IEA) (2001), “Technology Without Borders: Case Studies of Successful Technology Transfer”, IEA, Paris.

International Energy Agency (IEA) (2007). “World Energy Outlook 2007 – China and India Insights”, IEA, Paris.

ISIS (2004), “Intellectual Property, Patents and Licences”, Isis Innovation Limited, http://www.isis-innovation.com/researchers/patents.pdf, [Accessed: 30.11.08].

Jacobsson, S.; Bergek, A.; Finon, D.; Lauber, V.; Mitchell, C.; Toke, D.; Verbruggen, A.(2009), “EU renewable energy support policy: Faith or facts?”, Energy Policy, 37(6): 2143-2146.

Johanson, J.; Vahlne, J.-E. (1977), “The internationalization process of the firm—a model of knowledge development and increasing foreign market commitment”, Journal of International Business Studies, 8(1): 23-32.

Johnson, J. E. (2004), “Factors Influencing the Early Internationalization of High Technology Start-ups: US and UK Evidence”, Journal of International Entrepreneurship, 2(1-2): 139-154.

Karra, N.; Philips, N.; Tracey, P.; (2008), “Building the Born Global Firm – Developing Entrepreneurial Capabilities for International New Venture Success”, Long Range Planning, 41(4): 440-458.

Knight, G.; Cavusgil, S. (1996), “The born global firm: A challenge to traditional internationalization theory”, Advances in International Marketing, 8(1): 11-26.

Kogut, B.; Zander, U. (1993), “Knowledge of the Firm and the Evolutionary Theory of the Multinational Corporation”, Journal of International Business Studies, 24(4): 625-645.

Kuemmerle, W. (2002), “Home base and knowledge management in international ventures”, Journal of Business Venturing, 17(2): 99-122.

Leitão, J.; Baptista, R. (2009a), “Public Policies for Fostering Entrepreneurship: A European Perspective”, Series: International Studies in Entrepreneurship, Vol. 22, Springer, July 2009, US. ISBN: 978-1-4419-0248-1.

Leitão, J.; Baptista, R. (2009b), “Inward FDI and ICT: Are They a Joint Technological Driver of Entrepreneurship?”, International Journal of Technology Transfer and Commercialization, Forthcoming.

Less, C. T.; McMillan, S. (2005), “Achieving the Successful Transfer of Environmentally Sound Technologies: Trade- Related Aspects”, OECD, http://www.oecd.org/dataoecd/44/20/35837552.pdf, [Accessed: 12.01.09].

Li, Y.; Oberheitmann, A. (2009), "Challenges of rapid economic growth in China: Reconciling sustainable energy use, environmental stewardship and social development", Energy Policy, 37(4): 1412-1422.

Lütken, S. E.; Michaelowa, A. (2008), “Corporate Strategies And The Clean Development Mechanism: Developing Country Financing for Developed Country Commitments?”, Edward Elgar, Cheltenham.

Magic, P. (2003), “International Technology Transfer & Intellectual Property Rights”, University of Texas, http://www.cs.utexas.edu/users/fussell/courses/econtech/public-finalpapers/Peter_Magic_International_IP_Rights.pdf, [Accessed: 25.03.09].

Maskus, K. E. (2004), “Encouraging International Technology Transfer”, UNCTADICTSD Project on IPRs and Sustainable Development, http://www.iprsonline.org/unctadictsd/docs/CS_Maskus.pdf, [Accessed: 12.02.09]

McDougall, P.; Oviatt, B. (1996), “New Venture Internationalization, Strategic Change, and Performance: a Follow-up Study”, Journal of Business Venturing, 11(1): 23-40.

McDougall, P.; Oviatt, B. (2003), “Some Fundamental Issues in International Entrepreneurship”, United States Association for Small Business and Entrepreneurship, http://www.usasbe.org/knowledge/whitepapers/mcdougall2003.pdf, [Accessed: 13.01.09].

Michael, S. C. (2007), “Transaction cost entrepreneurship”, Journal of Business Venturing, 22(3): 412-426.

Monitor Group (2009), “Paths to Prosperity: Promoting Entrepreneurship in the 21st century”, Monitor Group, s http://www.compete.monitor.com/App_Themes/MRCCorpSite_v1/DownloadFiles/NED_report_final.pdf, [Accessed: 21.03.09].

Moore, B.; Wüstenhagen, R. (2004), “Innovative and Sustainable Energy Technologies: the Role of Venture Capital”, Business Strategy and the Environment, 13(2): 235-245.

Morrissey, M.; Almonacid, S. (2005), “Rethinking Technology Transfer”, Journal of Food Engineering, 67(1): 135-145.

Mtigwe, B. (2006), “Theoretical milestones in international business: The journey to international entrepreneurship theory”, Journal of International Entrepreneurship, 4(1): 5-25.

Ockwell, D. G.; Watson, J.; MacKerron, G.; Pal, P.; Yamin, F. (2008), “Key policy considerations for facilitating low carbon technology transfer to developing countries”, Energy Policy, 38(6): 4104-4115.

OECD (2008), “Measuring Entrepreneurship – A digest of indicators”, OECD, http://www.oecd.org/document/31/0,3343,en_2649_34233_41663647_1_1_1_1,00.htm, [Accessed: 17.01.09].

Olsen, K. (2005). “The Clean Development Mechanism’s Contribution to Sustainable Development”, UNEP Risoe Centre, http://www.cd4cdm.org/Publications/CDM&SustainDevelop_literature.pdf [Accessed: 10.01.09].

Oviatt, B.; McDougall, P. (1994), “Toward a theory of international new ventures”, Journal of International Business Studies, 25(1): 45-64.

Pascala, S.; Socolow, R. (2004), “Stabilization Wedges: Solving the Climate Problem for the Next 50 Years with Current Technologies”, Carbonsequestration.us, http://carbonsequestration.us/Papers-presentations/htm/Pacala-Socolow-ScienceMag-Aug2004.pdf, [Accessed: 04.04.09].

Penrose, E. (1959), “The Theory of the Growth of the Firm”, Oxford University Press, Oxford.

Popp, D. (2008), “International Technology Transfer for Climate Policy”, Syracuse University: Maxwell School of Citizenship and Public Affairs, http://wwwcpr.maxwell.syr.edu/pbriefs/pb39.pdf, [Accessed: 13.04.09].

Prashantham, S. (2005), “Toward a Knowledge-Based Conceptualization of Internationalization”, Journal of International Entrepreneurship, 3(1): 37-52.

Radosevic, S. (1999), “International Technology Transfer and Catch-up in Economic Development”, Edward Elgar, Cheltenham.

Raposo, M.; Paço, A.; Leitão, D.; Ferreira, J.; Leitão, J.; Silva, M. J.; Rodrigues, R.; Serrasqueiro, Z.(2006), “Manual de Benchmarking para as Universidades”, Publisher Team, Lisboa.

Reisman, A. (2005), “Transfer of technologies: a cross-disciplinary taxonomy”, The International Journal of Management Science, 33(3): 189-202.

Rialp, A.; Rialp, J.; Knight, G. A. (2005), “The phenomenon of early internationalizing firms: what do we know after a decade (1993–2003) of scientific inquiry?”, International Business Review, 14(2): 147-166.

Rogers, E. M. (2002), “The Nature of Technology Transfer”, Science Communication, 23(3): 323-341.

Rogers, E. M.; Takegami, S.; Yin, J. (2001), “Lessons learned about technology transfer”, Technovation, 21(4): 253-261.

Rugman, A.; Verbeke, A. (2002), “Edith Penrose’s Contribution to the Resource-based view of Strategic Management”, Strategic Management Journal, 23(8): 769-780.

Schneider, M.; Holzer, A.; Hoffmann, V.(2008), “Understanding the CDM’s contribution to technology transfer”, Energy Policy, 36(8): 2930-2938.

Seres, S. (2007), “Analysis of Technology Transfer in CDM Projects”, the UNFCCC Registration & Issuance Unit CDM/SDM, http://cdm.unfccc.int/Reference/Reports/TTreport/TTrep07.pdf, [Accessed: 12.11.08].

Spence, M.; Manning, L.; Crick, D. (2008), “An investigation into the use of collaborative ventures in the internationalization of high performing Canadian SMEs”, European Management Journal, 26(6): 412-428.

Stearns, T.; Hills, G. (1996), “Entrepreneurship and new firm development: A definitional introduction”, Journal of Business Research, 36(1): 1-4.

Stern, N. (2007), “The Economics of Climate Change”, Cambridge University Press, Cambridge.

Taiyab, N. (2005), “The Market for Voluntary Offsets: a New Tool for Sustainable Development?”, International Institute for Environment and Development, http://fletcher.tufts.edu/ierp/pdfs/NadaaTaiyab-Gatekeeper121.pdf, [Accessed: 02.02.09].

Teegen, H. (2000), “Examining strategic and economic development implications of globalising through franchising”, International Business Review, 9(4): 497-521. UNEP Riso (2009), “CDM projects by region”, UNEP Riso, http://www.cdmpipeline.org/cdm-projects-region.htm, [Accessed: 18.04.09].

United Nations Framework Convention on Climate Change (UNFCCC) (2009a), “Full Text of the Convention: Article 4”, UNFCCC, http://unfccc.int/essential_background/convention/background/items/1362.php, [Accessed: 10.04.09].

United Nations Framework Convention on Climate Change (UNFCCC) (2009b), “Advance report on performance indicators to monitor and evaluate the effectiveness of the implementation of the technology transfer framework”, UNFCCC, http://unfccc.int/resource/docs/2009/sb/eng/inf03.pdf, [Accessed: 18.04.09].

United Nations Framework Convention on Climate Change (UNFCCC) (2009c), “Registered project activities by host parties”, UNFCCC, http://cdm.unfccc.int/Statistics/Registration/NumOfRegisteredProjByHostPartiesPieChart.html, [Accessed: 22.04.09].

van der Gaast, W.; Begg, K.; Flamos, A. (2009), “Promoting sustainable energy technology transfers to developing countries through the CDM”, Applied Energy, 86(1): 230-236.

Vishwasrao, S. (2007), “Royalties vs. fees: How do firms pay for foreign technology?”, International Journal of Industrial Organization, 25(4): 741-759.

Wei, L. (1995) “International Technology Transfer and Development of Technological Capabilities: A Theoretical Framework”, Technology in Society, 17(1): 103-120.

Welsh, D. (2007), “Introduction from the guest editor”, The International Entrepreneurship and Management Journal, 3(4): 349-353.

Wennekers, S.; van Stel, A.; Thurik, R.; Reynolds, P. (2005), “Nascent Entrepreneurship and the Level of Economic Development”, Small Business Economics, 24(3): 293-309.

Wilder, M. (2005), “Implementing the Clean Development Mechanism and emissions trading beyond Europe”, in “Climate Change and Carbon Markets: a Handbook of Emissions Reduction Mechanisms” Earthscan, London.

World Bank (2008), “International Trade and Climate Change: Economic, Legal and Institutional Perspectives”, The World Bank, Washington.

World Intellectual Property Organization (WIPO),(2004). “WIPO Intellectual Property Handbook: Policy, Law and Use”, World Intellectual Property Organization, http://www.wipo.int/about-ip/en/iprm/index.html, [Accessed: 28.03.09].

World Watch Institute (2009), “State of the World: Into a Warming World”, World Watch Institute, www.worldwatch.org, [Accessed: 15.03.09].

Wright, R.; Dana, L.-P. (2003), “Changing Paradigms of International Entrepreneurship Strategy”, Journal of International Entrepreneurship, 1(1): 135-152.

Wright, R.; Ricks, D.-A. (1994), “Trends in International Business Research: twenty-five years later”, Journal of International Business Studies, 25(4): 687-701.

Wüstenhagen, R.; Bilharz, M. (2006), “Green energy market development in Germany: effective public policy and emerging customer demand”, Energy Policy, 34(13): 1681- 1696.

Yamin, F. (2005), “The international rules on the Kyoto mechanisms”, in “Climate Change and Carbon Markets: a Handbook of Emissions Reduction Mechanisms” Earthscan, London.

Zahra, S.; Matherne, B. P.; Carleton, J. M.(2003), “Technological Resource Leveraging and the Internationalization of New Ventures”, Journal of International Entrepreneurship, 1(3): 163-186.

Zahra, S.; George, G. (2005), “International Entrepreneurship: the current status of the field and future research agenda”, Wisconsin School of Business, http://instruction.bus.wisc.edu/ggeorge/research/IE.pdf, [Accessed: 17.01.09].

Zahra, S.; Hayton, J. (2008), “The effect of international venturing on firm performance: The moderating influence of absorptive capacity”, Journal of Business Venturing, 23(2): 195-220.

Zhao, L.; Aram, J. (1995), “Networking and Growth of Young Technology-Intensive Ventures in China”, Journal of Business Venturing, 10(5): 349-370.