Technology licensing practices in a technology colony

Research on the innovativeness of South African manufacturing firms showed interesting results. Although manufacturing firms seem to be quite innovative, they show a relative high dependence on foreign technology. This paper discusses the Technology Colony concept, results from the South African manufacturing innovation survey and findings on technology licensing practices of South African manufacturing firms. An analysis show typical factors that influence the technology licensing practices of South African fit-ins. Important organisational and transactional factors are identified. Conclusions are made about the management of firms under these peculiar circumstances.