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Why do Russian firms invest abroad? A firm level analysis
[Centre d'Analyse Théorique et de Traitement des données économiques WHY DO RUSSIAN FIRMS INVEST ABROAD? A FIRM LEVEL ANALYSIS]

Author

Listed:
  • Amar Iqbal Anwar

    (Cape Breton University - Cape Breton University)

  • Mazhar Mughal

    (CATT - Centre d'Analyse Théorique et de Traitement des données économiques - UPPA - Université de Pau et des Pays de l'Adour)

Abstract

This study examines the motives for Russian outward foreign direct investments (OFDI) around the world. Using firm-level data for Russian firms, home and host country economic, geographical, cultural and institutional drivers of Russian OFDI are analyzed. Findings show that Russian OFDI seems to be motivated by both the push and the pull factors. Results suggest market-seeking to be the main motive behind Russian outward foreign direct investments, followed by resource and technology acquisition, while efficiency-seeking does not appear to be a major objective. Compared with the pre-crisis period, Russian firms have been seeking more foreign investments since 2008. The study helps better understand the economic, geographical, cultural and institutional factors that Russian transnational corporations consider while planning investments abroad.

Suggested Citation

  • Amar Iqbal Anwar & Mazhar Mughal, 2014. "Why do Russian firms invest abroad? A firm level analysis [Centre d'Analyse Théorique et de Traitement des données économiques WHY DO RUSSIAN FIRMS INVEST ABROAD? A FIRM LEVEL ANALYSIS]," Working papers of CATT hal-01885147, HAL.
    • Handle: RePEc:hal:wpcatt:hal-01885147
    Note: View the original document on HAL open archive server: https://hal-univ-pau.archives-ouvertes.fr/hal-01885147
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    References listed on IDEAS

    as
    1. Amar Iqbal Anwar & Mazhar Mughal, 2012. "Economic Freedom and Indian Outward Foreign Direct Investment: An Empirical Analysis," Economics Bulletin, AccessEcon, vol. 32(4), pages 2991-3007.
    2. Filippov, Sergey, 2011. "Russia's emerging multinational companies amidst the global economic crisis," MERIT Working Papers 2011-003, United Nations University - Maastricht Economic and Social Research Institute on Innovation and Technology (MERIT).
    3. Amar Iqbal Anwar & Mazhar Mughal, 2013. "The Role of Diaspora in Attracting Indian Outward FDI," Post-Print hal-01885294, HAL.
    4. Peter J Buckley & L Jeremy Clegg & Adam R Cross & Xin Liu & Hinrich Voss & Ping Zheng, 2007. "The determinants of Chinese outward foreign direct investment," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 38(4), pages 499-518, July.
    5. Kolstad, Ivar & Wiig, Arne, 2009. "Is Transparency the Key to Reducing Corruption in Resource-Rich Countries?," World Development, Elsevier, vol. 37(3), pages 521-532, March.
    6. Zhang, Xiaoxi & Daly, Kevin, 2011. "The determinants of China's outward foreign direct investment," Emerging Markets Review, Elsevier, vol. 12(4), pages 389-398.
    7. John H Dunning, 1988. "The Eclectic Paradigm of International Production: A Restatement and Some Possible Extensions," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 19(1), pages 1-31, March.
    8. Mohamed Amal & Patricia Luiza Kegel, 2012. "Determinants of Brazilian Outward Foreign Direct Investment: A Home Country Perspective," Palgrave Macmillan Books, in: Marin A. Marinov & Svetla T. Marinova (ed.), Impacts of Emerging Economies and Firms on International Business, chapter 9, pages 168-188, Palgrave Macmillan.
    9. Amar Anwar & Mazhar Mughal, 2013. "The role of diaspora in attracting Indian outward FDI," International Journal of Social Economics, Emerald Group Publishing Limited, vol. 40(11), pages 944-955, October.
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    Cited by:

    1. Csaba Weiner, 2018. "Pull factors driving Russian multinationals into five CEE countries, a sectoral overview," IWE Working Papers 250, Institute for World Economics - Centre for Economic and Regional Studies.
    2. Csaba Weiner, 2017. "International expansion of Russian multinationals - a focus on home-country push factors, Europe and five CEE countries," IWE Working Papers 236, Institute for World Economics - Centre for Economic and Regional Studies.

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    More about this item

    Keywords

    2008 financial crisis; Outward Foreign Direct Investment; Russia;
    All these keywords.

    JEL classification:

    • F23 - International Economics - - International Factor Movements and International Business - - - Multinational Firms; International Business
    • G01 - Financial Economics - - General - - - Financial Crises
    • O53 - Economic Development, Innovation, Technological Change, and Growth - - Economywide Country Studies - - - Asia including Middle East

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