Question

Part of developing a long-term R&D strategy is to locate facilities in countries that are widely known to be competitive. Your company seeks to develop R&D facilities in Asia to counter recent competitor responses. A publication that evaluates economies based on their competitiveness is the Global Competitiveness Report. Locate this report, and develop a presentation for the top management team that presents the benefits and drawbacks for the top five Asian economies listed.

Answer 1

BENEFITS OF DEVELOPING LONG TERM RESEARCH AND DEVELOPMENT TO A COMPANY.

The company can grow hence it can take advantage of new opportunities. Expansion of product and services, attracting more customers, increasing more sales and employment of more staff. There is also product improvement at the end your company will realize good profit. The Company will improve and develop more efficient processes and new ways of delivering services.Reseach and Development can improve innovations in the company hence can result to greater profits and lower costs. This can lead to increased productivity and can boost your Company’s competitive advantage.

BENEFITS OF DEVELOPING LONG TERM RESEARCH AND DEVELOPMENT TO A COMPANY.

Sometimes larger companies will simply buy out smaller companies that successfully develop a new product or process.This eliminates possible patent infringement trademark claims against the company.There is keen competition and it is difficult to determine what will be successful beforehand. It is so expensive for a firm to defend itself against patent litigation, unless it can countersue based on its own patents.Companies in a pure competition market rarely spend time for research and development because they do not earn economic profits.

References

Von Zedtwitz, M., & Gassmann, O. (2002). Market versus technology drive in R&D internationalization: four different patterns of managing research and development. Research policy, 31(4), 569-588.

Jennings, N. R., Sycara, K., & Wooldridge, M. (1998). A roadmap of agent research and development. Autonomous agents and multi-agent systems, 1(1), 7-38.