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Location Determinants Of Fdi: A Literature Review

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Author Info

  • Susana Assunção

    ()
    (Faculdade de Economia, Universidade do Porto)

  • Rosa Forte

    ()
    (CEF.UP, Faculdade de Economia, Universidade do Porto)

  • Aurora A. C. Teixeira

    ()
    (CEF.UP, Faculdade de Economia, Universidade do Porto; INESC Porto; OBEGEF)

Abstract

The development of economic activity and the rise in foreign direct investment (FDI) in recent decades has prompted a great deal of research into the phenomenon of multinational companies. A vast amount of empirical literature on FDI catalogues a long list of determinants that try to explain direct investment by multinational companies in a particular location, but it is noticeable that the results are not always consensual. This article provides a review of the theoretical approaches to and empirical studies on FDI in an attempt to single out the most robust factors for explaining the geographic distribution of FDI flows worldwide. It also suggests paths for future research in this area.

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File URL: http://www.fep.up.pt/investigacao/workingpapers/11.10.10_wp433.pdf
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Bibliographic Info

Paper provided by Universidade do Porto, Faculdade de Economia do Porto in its series FEP Working Papers with number 433.

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Length: 23 pages
Date of creation: Oct 2011
Date of revision:
Handle: RePEc:por:fepwps:433

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Keywords: FDI; determinants of FDI; literature review;

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Cited by:
  1. Cuneyt KILIC & Yýlmaz BAYAR & Feyza ARICA, 2014. "Effects of Currency Unions on Foreign Direct Investment Inflows: The European Economic and Monetary Union Case," International Journal of Economics and Financial Issues, Econjournals, vol. 4(1), pages 8-15.
  2. Vivien D. Procher & Diemo Urbig & Christine Volkmann, 2013. "Time to BRIC it? Internationalization of European family firms in Europe, North America and the BRIC countries," Schumpeter Discussion Papers, Universitätsbibliothek Wuppertal, University Library sdp13004, Universitätsbibliothek Wuppertal, University Library.
  3. Attilio Di Battista, 2013. "The Role of Geography and Institutions in determining FDI flows into Italian Provinces," ERSA conference papers ersa13p1185, European Regional Science Association.

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