ROLE OF TNC IN TRANSFER OF TECHNOLOGY AND TNC

ROLE OF TNC IN TRANSFER OF TECHNOLOGY AND TNC

Role of TNC in transfer of technology and TNC

Introduction

The advances in information and technology have led to the development of immense competition among various states and countries, and every country aims to get ahead of others by developing the latest technological goods and products. This implies that all the countries of the world are now in a kind of race, trying to bypass others by being the first one to produce the most unimaginable and diverse technology and thus assist in making the world a better place to live. However, it is eminent to mention here that after being the pioneers in producing technology, most of the countries are open to transfer of technology and allow other countries and areas to get benefitted by the it as well. The same phenomenon is applied to automobile industry as well and the technology is transferred from one place to another, producing the same high quality products across the globe. The concept has thus given rise to the term 'technology transfer', which would be discussed and highlighted in the following paragraphs:

Discussion

Technology Transfer

Technology Transfer, also known as Transfer of Technology (TOT) and Technology Commercialization can be defined as the process of transfer of skills, information, technology, the manufacturing methods as well as the manufactured samples among various countries, governments or institutions. The basic aim behind transfer of technology is the development and spread of technology, thus allowing others to make developments and progress in the given technology and spread the same to other parts of the world as well. transfer of technology ensures that the technological and the scientific developments in the auto industry are made available to a large number of users and people who can then play their part in further development and advancements in the technology and assist in the development of new products, applications, procedures and the services (Kindleberg and Audretsch, 1983, Pp: 142). It should be noted that the processes have been specifically facilitated by the use of TNC. Thus, in case of auto industry, the transfer of technology and R&D is closely linked to transfer of knowledge regarding automobiles and their parts, the developments that have led to the development of better products as well as environment safe automobiles, that are not only easy to use but have better facilities and are safe for the environment as well.

Forms and models of technology transfer

Technology can be transferred in a number of forms and methods, which are all different from one another and thus also have different positive and negative aspects. It is eminent to mention here that as automobile and R&D technology is complicated as well as diverse, it has to be transferred using specialized skills and techniques, thus making it different from the other forms of technology transfer (Ietto- Gillies, 2005, Pp: 91). The major forms of technology transfer used by TNC and R7D, include packaged (unbundled) and unpackaged (bundled) transfer; Externalized and ...