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Direct Effects from Foreign Direct Investments in the Bulgarian Automobile Parts Production Industry

Author

Listed:
  • Miroslav Nedkov Manev

    (Joint Secretariat for the INTERREG V-A Romania-Bulgaria Programme, Bulgaria)

Abstract

Presented are the results from a conducted survey for analysis and assessment of the direct effects from foreign direct investments (FDI) in the Bulgarian automobile parts production industry. The methodology used is based on data basis from annual financial reports of the companies devided by their Bulgarian/foreign ownership status. The transnational corporations’ (TNC) affiliates in the sector generate strong positive effects through increased technological capacity, generated employment, revenues and profit, as well as expenditures for wages. At the same time is observed increase in the technological gap between the companies with foreign and Bulgarian ownership. Surprising are the decreasing differences and unification of the average salary, low levels of corporate investment in R&D and passive position towards environmental protection.

Suggested Citation

  • Miroslav Nedkov Manev, 2019. "Direct Effects from Foreign Direct Investments in the Bulgarian Automobile Parts Production Industry," Business & Management Compass, University of Economics Varna, issue 3, pages 183-201.
    • Handle: RePEc:vrn:journl:y:2019:i:3:p:183-201
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    More about this item

    Keywords

    Foreign direct investment; automobile industry; direct effects;
    All these keywords.

    JEL classification:

    • F21 - International Economics - - International Factor Movements and International Business - - - International Investment; Long-Term Capital Movements
    • F23 - International Economics - - International Factor Movements and International Business - - - Multinational Firms; International Business

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