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Country-of-Origin Effects of Foreign Direct Investment

Author

Listed:
  • Chengqi Wang

    (University of Nottingham
    University of International Business and Economics)

  • Jeremy Clegg

    (University of Leeds)

  • Mario Kafouros

    (University of Leeds)

Abstract

Employing detailed industry-level data, this paper examines the country-of-origin effects of foreign direct investment in China. The analysis demonstrates that there are significant differences in behaviour between investors from non-Chinese Western (NCW) source countries and those from Hong Kong, Macau and Taiwan (HMT). The findings show that NCW investors target local market, while HMT investors are export-oriented. Furthermore, NCW firms are more responsive to local labour quality and technological capability than their HMT counterparts.

Suggested Citation

  • Chengqi Wang & Jeremy Clegg & Mario Kafouros, 2009. "Country-of-Origin Effects of Foreign Direct Investment," Management International Review, Springer, vol. 49(2), pages 179-198, April.
    • Handle: RePEc:spr:manint:v:49:y:2009:i:2:d:10.1007_s11575-008-0135-4
    DOI: 10.1007/s11575-008-0135-4
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