TRANSNATIONAL COMPANIES AND THEIR TECHNOLOGICAL POWER - INVESTMENTS IN TECHNOLOGY DEVELOPMENT AND TECHNOLOGY TRANSFER

Abstract

Transnational companies (TNCs) as one of the main actors of globalization have a major influence on the overall development of society. The size and power of TNCs is enormous, with the very fact that they are closely monitored and analyzed by analysts and creators of economic opportunities. Their number, capital, number of employees, technological power and profits they make during their operations give them meaning that must be noted and respected. TNCs engage entire team of scientists, as well as realize the most perfect technical and technological achievements in order to be able to realize maximum profits in their operations. In this context, this paper recognizes the role and significance of TNCs in the development and transfer of technology. Research shows that TNCs play a major role in global innovation in most developed countries and implementing new technologies in production. Their research and development funds are approximately half of the world’s total costs, or more than two-thirds of the world’s businesses for the same purpose. Also this paper shows that the largest TNCs have the main role in transfer of technology, especialy those from developed countries where technological advancements are on the highest level and from where originate the greatest innovations.