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New Investment Strategies Of Transnational Corporations

Author

Listed:
  • Valeriu IOAN – FRANC

    (Romanian Academy – National Institute for Economic Research “Costin C. Kiritescu”)

  • Sebastian ENE

    (Constantin Brâncoveanu University – Finance and Accounting Faculty)

Abstract

This article aims to highlight which are the most commonly used investment strategies of transnational companies in the current period. The classic strategies are analysed, such as acquisitions and mergers, but also the modern strategies, such as licensing or execution by contract. An analysis is also performed on the matrix generated by the motivations of transnational corporations (TNC) to make foreign investment, the determinants that contribute to adopting the financing decision (investing), namely the strategy adopted so that TNC receive the best investment options. An analysis is also provided concerning the way in which the investment flows have evolved after the economic - financial crisis. The investors’ favourite destinations are followed, the most attractive areas, but also the strategies adopted. A brief analysis is also performed on how the major companies have entered the Romanian market.

Suggested Citation

  • Valeriu IOAN – FRANC & Sebastian ENE, 2012. "New Investment Strategies Of Transnational Corporations," Review of General Management, Spiru Haret University, Faculty of Management Brasov, vol. 15(1), pages 66-84, Mai.
    • Handle: RePEc:fmb:journl:v:15:y:2012:i:1:p:66-84
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    References listed on IDEAS

    as
    1. John H. Dunning & Sarianna M. Lundan, 2008. "Multinational Enterprises and the Global Economy, Second Edition," Books, Edward Elgar Publishing, number 3215.
    2. Raymond Vernon, 1966. "International Investment and International Trade in the Product Cycle," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 80(2), pages 190-207.
    Full references (including those not matched with items on IDEAS)

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    More about this item

    Keywords

    strategies; foreign direct investment; non - equity models; transnational company;
    All these keywords.

    JEL classification:

    • G32 - Financial Economics - - Corporate Finance and Governance - - - Financing Policy; Financial Risk and Risk Management; Capital and Ownership Structure; Value of Firms; Goodwill
    • F23 - International Economics - - International Factor Movements and International Business - - - Multinational Firms; International Business

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