Multinationals and plant survival in Swedish manufacturing
AbstractAre multinational enterprises, MNEs, more likely than non-MNEs to close down their plants due to their footloose character? The results from using a panel of all Swedish manufacturing plants over the period 1993 and 2002 suggest that MNE plants, in particular Swedish MNE plants, have a higher probability of exiting the market than non-MNE plants. The outcome is robust controlling for other variables affecting the survival rates. Among non-MNE plants, the probabilities of exit are higher in non-exporting firms than in exporting firms. Moreover, the increased foreign presence in Swedish manufacturing seems to have led to higher exit rates of plants in non-exporting non-MNEs while plants of globally engaged indigenous firms appear to have been unaffected by the increased foreign presence.
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Bibliographic InfoPaper provided by University of Nottingham, GEP in its series Discussion Papers with number 07/31.
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Survival analysis; multinational enterprises; foreign ownership;
Other versions of this item:
- Bandick, Roger, 2007. "Multinationals and Plant Survivals in Swedish Manufacturing," Working Papers 2007:7, Örebro University, School of Business.
- C41 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods: Special Topics - - - Duration Analysis; Optimal Timing Strategies
- F23 - International Economics - - International Factor Movements and International Business - - - Multinational Firms; International Business
- J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials
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