Diego Aboal, FLavia Rovira y Federico Veneri.
In this paper, we analyse the role that inter-agency and inter-business linkages have in the process of technological innovations in the forestry sector in Uruguay. We focus on what types of interaction prevail in the process of creating new knowledge and diffusing existing ones and what role different types of organizations have during this process. This paper offers new insights into the role that innovation in multinational firms has on knowledge creation and diffusion in developing countries as they interact with and reinforce weak sectoral innovation systems. Our findings indicate that multinational companies follow three main strategies to cope with the limitations of the local innovation system: cooperate among them, establish links with international research centres and, have a network of suppliers of technology. The spillovers to local agents are greater in case of networks established with the purpose of generate new knowledge.