Foreign research and development in Swedish multinationals

In 1987, Sweden's 20 largest multinationals together operated some 170 foreign R&D units, employing 8100 people, 23% of their total R&D personnel. About 60% of the units were added after 1980, the majority through acquisitions of foreign companies. Four major motives for the operation of foreign R&D units are identified: (1) support to local production (5% of foreign R&D employment); (2) ‘market proximity’, i.e. adaptation of centrally developed...