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New Concepts and Trends in International RD Organization,
illustrated by the example of Nestlé
Based on the article:
New Concepts and Trends in International RD Organization
By Oliver Gassman and Maximilian von Zedwitz
Legros Christopher
Herman Yannicrumar
Research and development in Multinationals
Professor: Michele Cincera
Solvay Business School and Economics – Université Libre de Bruxelles
March 17, 2008.
Table of contents
Introduction 3
Part 1: Analysis of the article 4
1. Internationalization of industrial RD 4
2. Trends and organizational concepts in international RD 6
2.1. Ethnocentric centralized RD 7
2.2. Geocentric centralized RD 7
2.3. Polycentric decentralized RD 8
2.4. RD hub model 8
2.5. Integrated RD network 9
Part 2 : The case company 10
1. Short History 11
2. Nestlé’s structure. 13
3. Nestlé’s RD 14
4. Nestlé’ s Research Center 15
5. RD INTEGRATED NETWORK. 17
Conclusion 19
Bibliography 20
Annexes22
2
Introduction
The international RD organization of a company is subject to a continuous change with
regards to the international environment. Technology-based companies have to continuously
adjust their RD organization in order to fit the international environment. Even if the
literature has investigated the location decision in RD organi
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