Table of contents for From followers to leaders : managing technology and innovation in newly industrialized countries / Naushad Forbes and David Wield.


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1   Beneath the surface                                                 1
Introduction 1
Technology in development - myths and realities 3
From myths to building blocks: understanding technical
capability infirms 9
Innovation management in follower-firms 14
Conclusion: growing value-added in firms is the core
objective 19

2   Innovation success in follower-firms                               20
Introduction 20
Tanzania Breweries Ltd 20
Hero Cycles: success through flexible specialization 24
Grupo Vitro 27
The Indian software industry. miracle in the making or a hightechnology 'sweat-shop'? 32
Cemex 37
Conclusions 41

3   Changing policies for science and technology: governments
and markets                                                        44
Introduction 44
Understanding technology and industrial development 46
What worked  48
Comparing national policy environments. what matters forfirms? 56
Conclusions 61

4   Innovation on the shop-floor                                       63
Introduction: why is shop-floor innovation key in
technology-followers? 63



Wages as a source of competitiveness 64
Going beyond wage competitiveness. the new manufacturing as
road-map 67
Making innovation happen on the shop-floor - what do we know?
What do we not know? 80
Looking beyond thefirm 82
Conclusions 83

5   From process to product and proprietary                           85
Introduction 85
Three 'ideal types' offirms 86
What explains the differences - state, culture or firm? 93
Capturing innovation rents by going proprietary 98
Conclusion. what does it take? 108

6   Managing R&D in technology-followers                             109
Introduction 109
What is R&D? 109
Why do R&D in a technology-follower? 126
The role and organization of R&D in technology-followers 130
Conclusions: organizing for effective R&D in followers 135

7   Design leadership for technology-followers                       137
Introduction 137
Why do good design? 138
What is good design? Moving up the value-chain with 'soft' quality  142
Building design capability is hard 145 Conclusions. from R&D to D&D 152

8   Building a culture for innovation                                153
Introduction 153
National culture and cultural stereotypes 154
Moving beyond the stereotypes 160
Follower-firms: organizing against the grain 164
Building afirm culture for innovation 166
Conclusions 172

9   Organizing for innovation. from followers to leaders             173
Introduction 173
How can 'drones' get clever - organizing for innovation  173
Building a technology strategy for innovation 182
Policy implications 189





Library of Congress Subject Headings for this publication: Technological innovations Management, International business enterprises Management, New products Management, International trade, Competition, International