Competence-creating subsidiaries and FDI technology spillovers

Yoo Jung Ha, Axele Giroud

Research output: Contribution to journalArticlepeer-review


Building on International Business research on subsidiary activities, this paper investigates the relationship between the type of innovation-intensive activities in an MNE subsidiary and FDI spillovers. Our results show that competence-creating activities by MNE subsidiaries generate significantly different horizontal and vertical spillovers compared with competence-exploiting activities. The findings suggest that FDI spillovers are influenced by the dynamic development of technological and strategic roles in a subsidiary in the dispersed innovation network of an MNE.
Original languageEnglish
Pages (from-to)605–614
Number of pages10
JournalInternational Business Review
Issue number4
Early online date27 Nov 2014
Publication statusPublished - Aug 2015


  • FDI
  • Technology spillovers
  • Competence-creating subsidiaries
  • MNEs
  • South Korea

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