The private use of publicly funded industrial technologies in developing countries: Empirical tests for an industrial research institute in India

The poor performance of publicly funded Industrial Research Institutes in developing countries has caused much concern. This paper suggests that the delay in the utilization of these institutes' technologies and the levels of output produced could have been influenced by the lack of complementary capabilities in the user enterprises and the nature of the technology transfer arrangements. The model, tested with data of the National Chemical Laboratories, India, found that enterprises that had recognized in-house technological capabilities, experienced shorter delays in the utilization of the technologies and also produced higher levels of output, while sponsored-exclusive transfer arrangements had an opposite effect. (C) 1997 Elsevier Science Ltd.