Abstract
A company that has developed a technology has a choice of transferring and sharing it with other firms for appropriate compensation, or using it for its own operations worldwide. How should firms make this choice, and what does the theory of multinational enterprise have to say about this decision? This article examines the theory, identifies attributes of a technology that makes it more transferable internationally, discusses changes in the international business environment which have fostered inter-firm transfers, and concludes with a section on host-government policies on the acquisition of foreign technology.
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