Towards A Better Understanding of the Antecedents of Knowledge Acquisition and Its Outcome: A Two-Fold Proposed Framework

Abstract

In the era of globalization and technological advancement, developing and transition economies focus in seeking to attract FDI as a means of obtaining capital and new technology. This, in turn,will open the door for local firms to enter into international jointventures (IJVs) to acquire necessarycapabilities by gaining access toforeign MNCs’ resources, knowledge, and skills. While foreign partners have agreed to pool their capital, knowledge, and technology, however, there is noguarantee of successful ventures.Drawing uponthe intensive literature on knowledge transfer and strategic alliances, this paper aims to present potential antecedents and consequences of IJVs’ knowledge acquisition through proposinga two-fold conceptual framework to be tested empiricallyin future studies.The proposed framework suggests transfer mechanisms, management practicesand formal mechanisms that link to IJVs’ knowledge acquisition. These will, in turn, lead to IJVs’ competitiveness.To support and justify the suggested framework, methodology and literature reviews are presented.