Technological competence in Brazilian multinational firms: The case of WEG

Resumo

The article aims to understand the productive and technological competence buildup of WEG as compared to its main competitors in the world industry of electrical equipment. In theoretical terms, this paper is based on concepts related to the competence theory of the firm. As for its methodological terms, the study attempts to measure technological competence based on patent data coming from Derwent Innovations Index base. It is revealed that the companies possess technological competencies that go beyond their core areas’ productive competencies. The methodology employed here also allows us to rank WEG’ technological competencies and those of its competitors in four different categories all through the 1963-2010 periods, namely: 1) core competencies; 2) niche advantages; 3) background competencies; and 4) marginal competencies.