The decision-making process of internal or external development of R&D: a multiple-case study on Brazilian multinationals

Abstract

The currently theoretical discussions about innovation and internationalization show that the conduct of research and development (R&D) internally or externally is an unquestionable source of competitive advantage for multinationals. If properly articulated, they can leverage the technological advancement of national innovation of the countries seeking to develop as Brazil. One of the initial challenges towards this proposal is to assess situations in which they configure themselves strategically more favorable for multinationals to innovate openly and cooperatively or innovate individually and closely. The key challenge is, therefore, to seek strategic decisions quality to develop internally or externally R&D. Considering the relevance of these discussions, the objective is to analyze how the decision-making process of developing internally or externally R&D occurs in Brazilian multinational. To achieve this goal a descriptive qualitative research was realized and the study of multiple-case methods was adopted, focusing on the Brazilian multinationals Smar, Tigris and WEG. The conclusions of this work show that the decision process of developing internally or externally R&D involves, basically, the stages of recognition and diagnosis of the situation, survey and evaluation of quantitative and qualitative information, definition of alternative development, and selection of the best alternative. The decision process can occur dynamically during the course of everyday activities R&D, in the period of pre-development projects of R&D (emergence of the idea) or in the stage of technological planning. Another relevant aspect refers to the strong influence of technology strategies deliberated on the decision to develop internally or externally R&D, and casual the influence of emerging technology strategies. Key words: Brazilian multinationals, R&D, decision-making process.