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The location strategies of multinationals from emerging countries in the EU regions

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Listed:
  • Crescenzi R.
  • Pietrobelli C.
  • Rabellotti R.

    (UNU-MERIT)

Abstract

This paper contributes to the current debate in both Economic Geography and International Business on the nature and strategies of Multinational Enterprises MNEs from emerging countries EMNEs. The paper fills a very relevant gap in the existing literature by shedding new light on the location strategies of EMNEs at the national and regional level, looking at their investment drivers and systematically comparing them with those of multinationals from advanced countries AMNEs. The empirical analysis looks at the location choices of MNEs in the European Union EU-25 regions and unveils that EMNEs follow distinctive location strategies. Their attraction into large regional markets is similar to AMNEs as well as their irresponsiveness to efficiency seeking motives. Conversely, the most knowledge-intensive investments of EMNEs respond mainly to two attraction factors strategic assets in the form of local technological dynamism and the agglomeration of foreign investments in the same business functions. In addition, both the national and the regional levels are simultaneously relevant to EMNEs decisions.

Suggested Citation

  • Crescenzi R. & Pietrobelli C. & Rabellotti R., 2015. "The location strategies of multinationals from emerging countries in the EU regions," MERIT Working Papers 2015-009, United Nations University - Maastricht Economic and Social Research Institute on Innovation and Technology (MERIT).
    • Handle: RePEc:unm:unumer:2015009
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    Cited by:

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    2. Rubini, Lauretta & Pollio, Chiara & Spigarelli, Francesca & Lv, Ping, 2021. "Regional social context and FDI. An empirical investigation on Chinese acquisitions in Europe," Structural Change and Economic Dynamics, Elsevier, vol. 58(C), pages 402-415.
    3. Antonello Zanfei & Andrea Coveri & Mario Pianta, 2019. "FDI Patterns and Global Value Chains in the Digital Economy," Working Papers 1903, University of Urbino Carlo Bo, Department of Economics, Society & Politics - Scientific Committee - L. Stefanini & G. Travaglini, revised 2019.
    4. Fiorenza Belussi & Giulia Rudello & Maria Savarese, 2016. "The Internationalization Of Mnes From And To Brics Countries: The Case Of The Industrial Machinery Industry," "Marco Fanno" Working Papers 0205, Dipartimento di Scienze Economiche "Marco Fanno".

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    More about this item

    Keywords

    International Investment; Long-term Capital Movements; Multinational Firms; International Business; Technological Change; Diffusion Processes; Regional Economic Activity; Regional Development Planning and Policy;
    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
    • O33 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Technological Change: Choices and Consequences; Diffusion Processes
    • R12 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Size and Spatial Distributions of Regional Economic Activity; Interregional Trade (economic geography)
    • R58 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Regional Government Analysis - - - Regional Development Planning and Policy

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