Japanese multinational companies' technological innovation in China

2015 Fiscal Year Final Research Report

• Project/Area Number: 25780230
• Research Category: Grant-in-Aid for Young Scientists (B)
• Allocation Type: Multi-year Fund
• Research Field: Management
• Research Institution: Hitotsubashi University
• Principal Investigator: SUN Kangyong 一橋大学, 大学院国際企業戦略研究科, 准教授 (60620292)
• Project Period (FY): 2013-04-01 – 2016-03-31
• Keywords: Innovation

Outline of Final Research Achievements

The research shows that in China’s markets, Japanese companies increasingly emphasize on developing new product and service and new business model that can better satisfy local consumers and corporation clients. On the one hand, it is because the demand and needs from consumers in China have been changing dramatically; on the other hand, competition from local firms becomes a big threat to Japanese companies. My case studies find that in developing technological innovations, Japanese companies face three main challenges: (a) low competence of local Chinese employees in R&D and business development, (b) low responsiveness to rapid changes in market and customer needs because of ineffective global organization, (c) low commitment from local Chinese employees due to ineffective human resource system. Based on case studies of successful Japanese companies in China, the research identifies a number of best practices in copying with the challenges.

Free Research Field

Management