Research and Development Facilities of Multinational Enterprises in India

Abstract

A noted American economic geographer collaborates with an India-based colleague to discuss the research and development (R&D) facilities of multinational enterprises (MNEs) in India, which has emerged as a preferred location for corporate R&D and strategic marketing facilities in the 21st century (previously situated in the developed world). Drawing on in-depth interviews in the field with MNEs located in Bangalore during 2007 and in 2012, the authors demonstrate how the perception of India as a location of innovation has begun to change, and discuss how the country began to serve as an ideal location for market knowledge gathering activities. Pointing to implications for other developing economies, the paper concludes that India's unique combination of market assets has played an important role in enabling MNEs to upgrade their functions.

Keywords:

• R&D
• India
• Bangalore
• Base-of-the-Pyramid market
• multinational enterprises
• innovation