Search results for " foreign direct investment"

The Determinants of Foreign Direct Investment and Labor Productivity in the Manufacturing Industry of Vietnam - The Firm-Level Data Evidence

2020

Foreign direct investment (FDI) has become an essential source for the economic growth and development of many developing countries. FDI can deliver financial capital, a strategic way to access the global market, a channel to transfer technology and skills to the host country. Many developing countries pay attention to attracting FDI as an important issue. The first objective of this study is to investigate the determinants of FDI in the manufacturing industry in Vietnam by finding out the differences in characteristics between FDI and local enterprises and then examining the business climate factors which affect the operations of foreign-invested firms. Finding the importance of export and…

Foreign Direct Investments and the Rule of Law in Africa in the context of legal integration

2019

This essay focuses on the relationship between foreign direct investment (FDI) and the rule of law in the context of legal integration in Africa, outside of the AfCFTA agreement. Specifically, the essay investigates the concept of the rule of law, taking into account its ‘dynamic’ side, that is the power to shape and model the structure of a state using the example of OHADA. The OHADA framework shows that the relationship between foreign direct investment (FDI) and the rule of law is not unilateral but a ‘two-way mutual’ relationship where both actors contribute to the success of the system, adapting to each other in order to achieve their respective goals.

Foreign Direct Investment Drivers in Romania

2013

Foreign Direct Investment (FDI) represents a condition sine qua non for a sustainable development of Romania, taking into consideration the fact that the domestic capital is not enough to assure a positive and significant growth. The present study uses the multiple linear regression to determine the main factors which influence FDI level in Romania. The international reserve and the capital market index BET have a direct and positive impact on the foreign investment flow, while the short, medium and long private and public external debt proved to influence direct, but in a negative way, the FDI.

THEORIES OF THE MULTINATIONAL ENTERPRISES – TWO DIFFERENT APPROACHES

2012

Multinational enterprises – as key determinants and results (in the same time) of the globalization process that characterize the economic world nowadays – know a lot of different approaches in the academic literature; this is a consequence of the refinement (in time) of the (firm’s) internationalization strategies and practices – which is determined, at its turn, by the continuous dynamics and challenges of the world economy. By this paper we would like to bring into attention two of these general theoretical frameworks; they were developed by Wladimir Andreff (into his 2003 book: Les multinationals globales), and Mats Forsgren respectively (into his 2008 book: Theories of the Multinationa…

Institutional Quality and International Competitiveness

2008

Foreign direct investment and the rule of law in Africa in the context of legal integration

2018

This essay focuses on the relationship between foreign direct investment (FDI) and the rule of law in the context of legal integration in Africa, outside of the AfCFTA agreement. Specifically, the essay investigates the concept of the rule of law, taking into account its ‘dynamic’ side, that is the power to shape and model the structure of a state using the example of OHADA. The OHADA framework shows that the relationship between foreign direct investment (FDI) and the rule of law is not unilateral but a ‘two-way mutual’ relationship where both actors contribute to the success of the system, adapting to each other in order to achieve their respective goals.

INCREASING COMPETITIVENESS AND JOBS THROUGH FOREIGN DIRECT INVESTMENTS

2013

After 3 years of collapse, foreign direct investments (FDI) have reached a minimum level of the last 9 years, in 2011, meaning 1, 94 billion Euros, below the 2003 level. In the first 10 months of 2012, foreign direct investments have reached a level of 1,27 billion Euros, surpassing the similar period last year, as the economic growth was centered around 0,5 %. At this time, foreign direct investments represent one third of the current account deficit. Romania is objectively reliant on foreign capital due to its low degree of internal saving. Investors have chosen the automotive industry in Romania, a sector deemed competitive, due to cheap labor force, large market and substantial state ai…

Are Energy Market Integrations a Green Light for FDI?

2015

This paper studies the effect of energy market integration (EMI) on foreign direct investment (FDI). EMIs diminish energy uncertainty and price volatility in the host country and affect FDI through two channels: first, by harmonizing energy prices and, second, by reducing price dispersion. FDI may, as a result, increase both within and outside the EMI area, through energy stability mechanisms and price mechanisms, respectively. An empirical application on a global dataset including bilateral FDI data, during 2003-2012, using the gravity equation, shows that the integration of Portugal and Spain's electricity market in 2007 increased the amount of FDI's participants. Additionally, a positive…

Understanding german fdi in latin america and asia: a comparison of glm estimators

2020

The growth of Foreign Direct Investment (FDI) in developing countries over the last decade has attracted an intense academic and policy-oriented interest for its determinants. Despite the gravity model being considered a useful tool to approximate bilateral FDI flows, the literature has seen a growing debate in relation to its econometric specification, so that which is the best estimator for the gravity equation is far from conclusive. This paper examines the determinants of German outward FDI in Latin America and Asia for the period 1996-2012 by evaluating the performance of alternative Generalized Linear Model (GLM) estimators. Our findings indicate that Negative Binomial Pseudo Maximum …

Attractiveness of Countries for Foreign Direct Investments from the Macro-Economic Perspective

Attractiveness and value adding characteristics of countries for Foreign Direct Investments usually are linked to new customers, upcoming demands, unsatisfied needs, competitive situations, etc. But they are also closely connected to macro-economic factors, which build the focus of this research praper. To make it more differentiable, those factors have been separated into five major dimensions: Political/Legal, Economic, Social, Technological and Intercultural Factors. Each of those factors consists of minimum five sub-factors which have been analyzed and taken into consideration. The aim is to find out, which factors influence the decisions for FDIs. If knowing that, stecific decisions ca…