A research submitted in partial fulfillment of the requirements for the degree of Master of Business Administration

Research Studies Project Report (M.B.A.) - Asian Institute of Technology, 1996

International manufacturing technology transfer has become a major determinant for socio-economic development through industrialization in the less developed countries. This implies that the transferee should receive all four components of technology- machines, skills, information, and institutional practices not only to effectively and efficiently operate the manufacturing facilities, but also to enable to eventually modify and improve the acquired technology. There are many transfer mechanisms commonly used for manufacturing technology transfers. The developed normative framework in this research study shows that all of these mechanism do not have the potential to transfer the four components of technology at the same extent to the transferee. The common market oriented international technology transfer mechanisms discussed in the framework are: direct purchase of plant and equipment, turnkey projects, joint ventures, technical collaborations, expert services, and subcontracting. Case studies from the literature are used to verify and strengthen the framework. Studies were then carried out at three firms from the ceramics industry in Sri Lanka that have used turnkey contract, joint venture, and expert services for the transfer of technology. The framework was used to examine the components of technology transferred to the firms through these mechanisms. The findings show that the framework is realistic and can help firms to plan their technology transfer. Based on the findings some suggestions for application of the framework and future research are made.