Attracting international science and technology investments by firms

International investments have grown rapidly in recent decades owing to the rapid rise of global value chains. Production processes have become increasingly fragmented, with goods and services produced in stages in different countries. Firms seek to optimise their production processes by locating their various production stages in different sites and countries on the basis of optimal location factors. While distribution, sales and production activities led the way, also science and technology (S&ampT) activities and R&ampD have increasingly been located and/or relocated abroad.