Transferring technology into R&D: A comparison of acquired and in-house product development projects

New technologies acquired from outside the firm have become a key ingredient in technology transfer within industrial R&D laboratories and an important source of new product development efforts. This study compares the management and performance of acquired technology projects (n = 24) with product development projects that employed technology originating within the firm's R&D function (n = 57), i.e., in-house projects. Acquired projects differed in a number of ways from in-house projects that were attempting to develop new technologies, but did not differ from in-house projects that were extending existing technologies within the firm. Relationships between project management and project performance also were found to differ across the project types. Similarly, the relationships between management practices and project termination differed across the project types. Overall, acquired technology projects in this study appeared more similar to the extension of technology in-house than to the development of new technology in-house. Factors related to the competitive value and success of acquired technology are discussed.