January 24th, 2012
09:38 AM GMT
Davos, Switzerland (CNN) – Multinationals are becoming increasingly aware of the need to investment in innovation, education, and R&D in emerging economies, says John Quelch, dean of China Europe International Business School.
“If you look at China at the moment, (there is) a tremendous amount of multinational funds coming in from the West investing in R&D centers in China,” says Quelch.
“That’s partly to get closer to the huge local China market, but it’s also a reflection, I think, of the understanding that there’s a lot of talent in China in terms of science and engineering that can be tapped successfully by the multinationals through these R&D centers.”
He adds that if Western multinationals want to truly understand emerging economies as markets, they will have to invest more in human capital in those countries.
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