A comparison of R&D project termination factors in four industrial nations

With firms establishing R&D facilities abroad, it is important for R&D managers to understand how decisions are made and the factors that affect them in different countries. The decision to terminate an ongoing R&D project is made based on a number of factors. Some of these are objective and based on actual data, while others are mostly qualitative and subjective. Previous studies have identified a number of factors found to be important in the context of firms in the United States. Some recent studies have identified such factors in Germany and in the United Kingdom. This study examines the factors in the Japanese context in addition to the three countries. It further compares these factors from the four countries and provides some explanations for the similarities and the differences between the factors. Based on the results of this comparative study it suggests the implications for R&D management