›› 2017, Vol. 29 ›› Issue (11): 159-170.

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Study on the Dynamic Process of RKT in MNEs from the Perspective of Network Evolutionary Game

Xiao Zhenhong1, Liu Ang1, Zhou Wen2   

  1. 1. School of Economics and Management, Harbin Engineering University, Harbin 150001;
    2. College of Information Systems and Management, National University of Defense of Technology, Changsha 410003
  • Received:2016-01-15 Online:2017-11-28 Published:2017-11-25

Abstract:

Reverse Knowledge Transfer (RKT) is an important way for multinational enterprises (MNEs) to harvest knowledge resources from overseas host countries and sustain competitive advantage. To explore the operating mechanism about RKT, based on the dynamic process of RKT in MNEs, this paper builds a network evolutionary game model of RKT and makes simulation of dynamic process. Results prove that the transmitted signal noises have great impacts on both the adaptation and renewal of parent and subsidiaries' game strategy. There are separable characteristics about the influences on stable speed of parent and subsidiaries' positive strategies from parent and subsidiaries' unit cost and subsidiaries' endeavor cost, and there is an optimal range for the influences on stable speed of parent's positive strategies from its endeavor cost. The transmission of strategy signals among subsidiaries and the imitation of subsidiaries' strategy strongly rely on the basic network structure. There is more advantage on promoting the transmission of subsidiaries' positive strategy for a scale-free network.

Key words: reverse knowledge transfer, multinational enterprises, evolutionary game, complex network