Transnational Activity and Market Entry in the Semiconductor Industry

This paper has examined the factors that affect the pattern of introduction of semiconductor innovations into the United Kingdom, studying both differences among products and differences among firms. The pattern of product innovations is based on the concept of a lifecycle process. A model is developed for estimating product life cycles in a way that gives information suitable for assessing induced changes in the host country industry. The analysis that follows is broken into two parts. Firstly, factors determining the rate of diffusion of the innovations in the host country are examined; secondly, factors determining the positions of individual firms within the life cycle are considered.