Technology Transfer and Absorption in Korea: Methodology and Measurement

The purpose of this essay is to categorize technological knowledge and to examine its transfer from developed countries to Korea. The empirical investigation is carried out with data available from the firms surveyed: Hanyang Chemical Corporation in petrochemical industry. Kolon Co. Ltd. (KOLON) in synthetic fibers, Daewoo Heavy Industries Ltd. in machine industry, and Pohang Iron and Steel Co. Ltd. (POSCO) in iron and steel industry. We start by revealing the procedure dictated by the concept of the process and methodology of measurement, and moves through its stages, from the planning stage at the beinning to such various further stages as negotiation with foreign suppliers, Design, construction, starting-up, operating the equipment, securing improvements, developing new products and techniques, absorption and diffusion of imported technology. Comparisons are at the heart of the summary, and in particular a comparison with Japan is indicated. The broad implication is that the presently reported statistical evidence provides not only a description of the technology transfer but also a prescription, that is, an Inquiry into how the transfer can be conducted skillfully in developing countries.