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2 Technology Acquisition As we are familiar with the term technology, let us now study the meaning of technology acquisition.

Generally, we can define technology acquisition as the process that requires the strategic planning, and is more time consuming and complicated. Acquiring technology involves the purchase of external technology and knowledge without getting co operation from the source. This external knowledge involves incorporation of knowledge into machinery and equipment. We can acquire this external knowledge by hiring the people those who have the basic knowledge of new technology. The acquisition of a new technology arises from the need to implement a corporate technology strategy, and as such, all the efforts and planning need to be focused on the problems of technology acquisition. We know that a new technology is often acquired in an embodied form along with the equipment and facilities. We also need to carry out further application development work by establishing operational skills. The operational skills include plant-commissioning, demonstration, and operator training. This also includes activities which help supplier of equipment in the process of Technology acquisition. By now, we are familiar with technology acquisition. Now let us have a brief discussion on the advantages and disadvantages of technology acquisition. Advantages of technology acquisition There are some advantages that are associated with the acquisition of technology. Acquisition helps us to get the complementary products that help for the success of the organisation. Acquisition helps us to acquire more revenue because of the new technologies that are incorporated. Acquisition helps for the improvement of research and development centres. Our understanding of the topic will be incomplete, if we study only the advantages and leave the disadvantages. So, let us now have a look at the disadvantages of the technology acquisition. Disadvantages of technology acquisition The technology acquisition causes the change process in an organisation that affects many of the employees of that organisation. The technology acquisition causes the confusing and disruptive process in the organisation

Background: Why is there a need for an Acquisition Process?

To protect [Company's] financial and legal interest To maximize technology investments To minimize costs To ensure acquisitions are made in considerations of [Company's] long term strategies

Acquisition of technology and knowledge involves the purchase of external knowledge and technology without active co operation with the source. This external knowledge can be embodied in machinery or equipment that incorporates this knowledge. It can also include the hiring of employees who possess the new knowledge, or the use of contract research and consulting services. Disembodied technology or knowledge also includes other know-how, patents, licences, trademarks and software.