The Acquisition and Assimilation of Technology
Uploaded by ripwilder100 on Nov 03, 2005
Following the introduction of Doi Moi more than 10 years ago, Viet Nam opened its doors to foreign investment. It was expected that this would bring much needed capital, new knowledge, and new technologies. This has happened to an extent, but in recent years foreign investment has fallen, and this has been accompanied by a decline in the importation of technology.
Broadly speaking, two approaches are taken to technology development. One is the technological development pushed by new discoveries and breakthroughs. This involves new technologies created initially by technology push. In advanced countries, numerous examples can be given of successful economic advance resulting from technology push. The industrial market sectors of developing countries, however, are often formed almost overnight with the introduction of imported products or services. Many examples can be given of East Asian economies where success in modernization and industrialization has derived from S&T policies based on a demand-pull approach, as well as disappointing experiences resulting from S&T policies focused on the technology-push approach.
During our interviews with policymakers and researchers in Viet Nam, we noticed in many cases a search for policy instruments of the technology-push variety. Inadequate attention appears to have been given the expected evolution of technology demand in the fast-changing national, regional, and international markets. For example, the decision to establish the four focus areas — IT, biotechnology, new materials, and automation — seemed to be based on observations of general trends elsewhere, rather than on an in-depth analysis of current Vietnamese economic structure and markets.
The starting point is also important in this context. According to MOSTE (Thu 1997, p. 3), Viet Nam's technology is
50 to 100 years behind that of the most modern countries in the world. Viet Nam's equipment is backward from two to three generations (20 to 30 years) or from four to five generations, depending on each specialised sector, compared with [the] modern level in the world. The coefficient of value decreases because of technical backwardness and the standard of production organisation is commonly from 0.5–0.7.
Some further factors that emerged during our interviews and bear on the acquisition and assimilation of technology are the following:
• Some significant efforts have been made to adapt imported technology to local conditions, and electronic and software firms perform adaptive research activities continuously. For example, one company adapted the technology acquired through a joint-venture agreement to manufacture refrigerators in accordance with Vietnamese conditions...