Expectations and results of contractual joint ventures by U.S. and U.K. mncs in estern europe

Abstract

Using ten case studies[l] originally researched for our respective doctoral degrees but now updated for this article, we intend to illustrate technology transfer to Eastern Europe which takes the form of contractual joint ventures. Known in Eastern Europe as industrial co-operation, a term used also by the UNECE, they constitute large and usually industrial export-intensive projects which are financed over a number of years partly with an agreed buyback of the goods manufactured under the licence of the Western partner. In discussing technology transfer, we go beyond the simple sale of a product to the licence actually to produce: the human knowhow and skills transferral necessary for the production and marketing of the final good[2]. We are dealing then with a package rather than a simple product or process and what we will be monitoring here is the successful implantation or otherwise of that package together with the attendant disadvantages and advantages relative to buyer and seller, in conjunction with the interests also of the respective home and host governments. Firstly, we try to define our basic concept of industrial co-operation or contractual joint venture. The working definition is that of Matheson et al. that[3]: