How do multinational corporations in emerging economies patenting abroad? Empirical evidence from Chinese manufacturing enterprises

Purpose We examine how micro-level heterogeneity among multinational corporations from emerging economies shapes patenting-abroad strategies and how these firm attributes interact with host-country institutions. Integrating the resource-based view and institutional theory, we theorize the boundary conditions under which exports and outward foreign direct investment (OFDI) translate into patenting abroad. Design/methodology/approach Using a high-dimensional panel fixed-effects model and a sample of 510 A-share-listed Chinese manufacturing firms from 2010 to 2016, we test the effects of ownership type and factor intensity, together with host-country conditions—imitation threat and intellectual property rights (IPR) level—on firms' patenting abroad. Findings The study finds that state-owned enterprises and technology-intensive firms exhibit a more significant positive impact of exports/OFDI on patenting abroad. Moreover, imitation threats in host countries positively moderate the relationship between exports/OFDI and patenting abroad. Higher IPR levels weaken this moderating effect; nevertheless, this attenuation occurs specifically in the OFDI context. Originality/value While prior work centers on developed economies, focusing on the direct influence of economic and institutional factors, with less attention to the micro-level variations across MNCs from emerging markets and their nuanced interactions with host-country environments. We identify boundary conditions shaped by firm-specific attributes and host-country institutional characteristics, thereby advancing a framework for understanding firm-level patenting strategies in institutionally diverse contexts.