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By Friedrich Levcik

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S. S. firms I. S. Firms with the CMEA* Collectively and with Individual CMEA Countries, 1975, by CMEA Country, in% ~ .... S. Perspective on East-West Industrial Co-operation (preliminary), Bloomington, International Development Research Center of Indiana University, Team of Researchers, 1975. *Licensing fee paid by deliveries of licensed product. t Licensing fee paid in foreign exchange. l Including licensing agreements not further specified. S. firms participate. II Including supplying of know-how to USA.

In some situations conflicts may arise between an enterprise and the higherlevel agency promoting cooperation agreements; enterprises which feel that such cooperative arrangements have been imposed on them are often dilatory or even remiss in carrying them out [ 6]. Many export enterprises in the smaller Eastern European nations dispose of a large part of their output in the Soviet Union. Export to the Soviet Union has been (at least so far) possible even if the product was of inferior quality and of a low technical level.

In 1975, 3% of all agreements concerned joint ventures in production (other joint ventures were not taken into account in 1975). S. efforts. About 50% of American joint ventures were with Romania and Hungary. , with delivery of the licensed product in payment). Only one third of the agreements (for the United States even fewer) involved specialization and coproduction. The significance of joint ventures is still small; in most cases joint ventures are not built in the Eastern country. The FRG is a preferred partner of the Eastern countries in research and development cooperation thanks to its fine reputation.

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