Localisation strategies of firms in wind energy technology development
Radhika Mia & Sergey Filippov
#2010-047
The paper looks at the localisation strategies of multinational
companies in wind energy sector in the emerging countries of China and
India. It seeks to explain why western multinationals are localising new
manufacturing and R&D facilities in emerging economies such as China and
India, and how local knowledge and capabilities are being increasingly
integrated into global technology and manufacturing networks of
multinationals. It explores the reasons behind the localisation of
multinational companies that helps them gain strategic access to wind
energy technological capabilities in emerging economies. It examines the
case of the company Vestas in expanding wind energy cluster of Tianjin
in China and Chennai in India. At the strategic level, it explains the
importance of the role of local capabilities and skills in the global
production networks of multinationals. At the policy level, the
discussions leading from the case focuses on the concrete steps
necessary to integrate technology and innovation more closely into
development of sustainable energy markets in developing countries.
Key words: renewables, multinational companies, emerging economies
JEL codes: F23, L72, O32, Q20, Q42
UNU-MERIT Working Papers
ISSN 1871-9872