It is a fact that today's European economy is strongly impacted by globalization. European firms have the opportunity to go to the global market. In order to be successful and to achieve a local and international development, those companies have to adapt and to reinvent their strategies. The challenge today is not anymore to have the largest plants, the higher number of employees, or the biggest cash flow. The global aim is to get the knowledge in order to optimize all those factors. By controlling the knowledge, firms are able to reduce their costs and to become more efficient and powerful. European authorities are aware of the importance of knowledge to achieve a global goal of growth and prosperity for all European stake holders. That's why the Lisbon Strategy has been decided in 2000. Its aim was to make the Europe the number one knowledge-based economy of the world by 2010. "Be Competitive through innovation" this is what Europe wants; its firms have to do that to compete in the global world. As it's possible to see in that investigation, knowledge is the key for European firms to keep a real competitive advantage in term of innovation. This is true especially because today Europe is under a pressure that comes from emerging countries. In that research paper we develop the idea that, the way that emerging countries can innovate by improving their knowledge performance, is a real threat for European leadership. Compare to the USA, Europe is considered to have a quite different way to deal with globalization and Knowledge management. US individualistic culture leads them to a negative competitive approach of knowledge. In Europe, firms have a better approach of Knowledge management; more consensual. European companies have the ability to share innovation project, even if they are competitors. There is a long way for Europe to become the global Knowledge leader. If European authorities really want to help their firms, they need to stimulate education, research and innovation. Continue to empower European's human capital is a crucial aspect to succeed.
Keywords: Globalization, Knowledge based-economy, Innovation, Lisbon Strategy.
[...] Origin of the Knowledge-Based Economy Codification Learning Networks Employment Government policies Knowledge Based Economy: research, innovation and creation Knowledge production Knowledge transmission Knowledge transfer Government policies Knowledge management in Europe How European firms create Knowledge II) European Firms pragmatic strategic and operational approach When's regional firms go global Other strategic options Anticipation and identification of possibilities Managerial implications Multinational Firm's approach Importance of domestic market Classification multinational firms A new business relation between partners Key of success to deal with Asian business partners How it used to work in China Chinese domestic market opportunities The necessity to trust Chinese regular partners European way to outsource III) Knowledge-Based Economy: US vs. [...]
[...] In 2000 the recognized goal of the European Council is become the most competitive and dynamic knowledge-based economy in the world by 2010, capable of sustainable economic growth with more and better jobs and greater social cohesion[10]”. The EU has since initiated a lot of programs in order to encourage innovation. That specific development plan for EU is call the “Lisbon Strategy”[11]. These projects demonstrate the changes that are taking place in the nature of the economy and identify the main causes in value creation. [...]
[...] How European firms create Knowledge[17] In today's knowledge-based economy, firms understand that innovate is not a cost but necessarily investment to develop long term prosperity. In this context innovation is not only using new technologies or new concepts; it means to improve organization, production and distribution of new products[18]. Even if the cost in innovation is important, entrepreneurs are more focus on the long term result and are more patient. Innovations are more a result of interactions between various actors, than the fruit of individual research. [...]
[...] By doing this it was able to gain an advantage over competitors in terms of time to introduce a product made in china in its domestic market (generally Europe or United States). How it used to work in China[37] In terms of outsourcing a few companies choose to build a true relationship with their Chinese suppliers. Actually it's really hard for European and US Companies to understand properly the complexity of bids from Chinese suppliers. Sometimes European and WE companies imagine that Chinese manufacturers are able to produce and to ship some critical component of their product, even if the contract between those companies is very small. [...]
[...] UK Knowledge economy Knowledge management is practiced in UK and Europe as a strategically tool for a long time. If the concept is used since 1960[41], it was more tacit knowledge and not officially recognize as its real function. Knowledge in UK is more shared than in US, but it is less technologic. UK firms use to share and improve old knowledge about traditional best practices and they are less able to innovate compared to US companies. In general, UK firms are more confident in recognized processes which develop a real added value. [...]
APA Style reference
For your bibliographyOnline reading
with our online readerContent validated
by our reading committee
