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Why Foreign-owned Firms are Different: A Conceptual Framework and Empirical Evidence for Austria

In: Foreign-owned Firms

Author

Listed:
  • Michael Pfaffermayr
  • Christian Bellak

Abstract

Empirical studies continuously reveal differences in the performance of foreign-owned firms (FOFs) and domestically-owned firms (DOFs) across countries, industries, over time and also at the plant level. Empirical evidence, however, is not conclusive. In some studies, FOFs perform better than domestic ones and vice versa. Despite this ambiguity, there is considerable agreement that these differences can be referred to a limited number of explanatory factors, depending on the performance measure chosen (e.g., productivity, profitability, growth, skill or wage).

Suggested Citation

  • Michael Pfaffermayr & Christian Bellak, 2002. "Why Foreign-owned Firms are Different: A Conceptual Framework and Empirical Evidence for Austria," Palgrave Macmillan Books, in: Rolf Jungnickel (ed.), Foreign-owned Firms, chapter 2, pages 13-57, Palgrave Macmillan.
    • Handle: RePEc:pal:palchp:978-0-230-50343-4_2
    DOI: 10.1057/9780230503434_2
    as

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    References listed on IDEAS

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    More about this item

    Keywords

    Foreign Direct Investment; Labour Productivity; Transfer Price; Sales Ratio; Parent Country;
    All these keywords.

    JEL classification:

    • J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity
    • L23 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - Organization of Production
    • L6 - Industrial Organization - - Industry Studies: Manufacturing
    • F23 - International Economics - - International Factor Movements and International Business - - - Multinational Firms; International Business

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