Organisation of new product development in Asia and Europe: results from Western multinationals R&D sites in Germany,India, and China

From research on Western new product development (NPD) practices a rich body of literature has emerged. However, the impact of country specific and cultural influences has not been examined in this context yet. This study is a first attempt to identify differences in NPD practices between Research and Development (R&D) subsidiaries in Germany, China and India within multinational companies. Data has been generated by qualitative interviews with R&D executives in those countries across multiple cases. The study samples strategic, organizational and operational aspects indicates definite differences in process coordination, rewarding systems, market orientation and the average age of NPD teams. Other aspects like strategic targets, the management involvement, etc. show rather slight differences across the countries. Hence, findings suggest that while some aspects are universally applicable across cultural frontiers, Western companies have to understand different expectations regarding NPD in India and China by adjusting practices accordingly.