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Technology Development

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Technology Development
The analysis of technology development impact from MNEs

The case of Chinese mobile phone industry

MNEs and technology transfer in economic development Program name: International business management

Introduction
Recently, the number of multinational enterprises has experienced prosperity in Chinese smartphone markets. As the most profitable sub-sector of the telecommunications industry, mobile phones have become an indispensable tool for modern communication in China. Compared with 2006, in the year of 2007 domestic sales of cell phone experienced a rapid increase by 74%, which is 190 million. No mater the traditional customers’ demand and new mobile phone users, they both make a great contribution in Chinese phone industry. Mobile subscribers in China are now using 330 million smartphones, which is a 150% increase over last year.
The thriving and prosperous of Chinese mobile phone industry could not ignore the entry of foreign direct investment. It means that, with the development of increasing economy and policy, the advantages from Chinese market attracts a large number of foreign direct investments to explore the smartphone industry. Importantly, this emerging industry pushes the technology development of domestic market in China.
The aim of this following report is to bring increasing attention on importance of Chinese Technological Development from Chinese mobile phone industry under the push of multinational companies. Following this introduction, through combining specific features and current situations from Chinese market, it will present a brief set of sound reasons to explain strengths and challenges in this market. Even though it has to been confronted with these difficulties, it has been claim that multinational companies make a great contribution in technology development in



References: Cong C, (2004), Challenges for Technological Development in China’s Industry, http://chinaperspectives.revues.org/924 Hill, C. W. L. (2011), International Business: Competing in the Global Marketplace, 8th edn, McGraw-Hill. International Monetary Fund, (2013) World Economic Outlook Database: China Jason, D., (2007), The Forbidden City of Terry Gou, The Wall Street Journal. Jun J, and Maximillian von Zedtwitz(2008),Technological capability development in China’s mobile phone industry, Journal of Technovation, Vol.(28) Issue 6 Page 327-334. Kogut, B. and Zander, U. (1993), Knowledge of the firm and the evolutionary theory of the multinational corporation, Journal of International Business Studies, Vol 24(4), 625-645. Zhu Hengyuan (2006), The interaction between regulation and market and technology opportunities-A case study of the Chinese mobile phone industry, Vol. (8)

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