IDEAS home Printed from
   My bibliography  Save this article

Will China Relocate its Labor-Intensive Factories to Africa, Flying-Geese Style?


  • Terutomo Ozawa

    () (Economics, Colorado State University)

  • Christian Bellak

    () (Vienna University of Economics and Business, Austria)


In its quest for oil and minerals, China has developed increasingly close economic relations with Africa through investment and aid. The World Bank recently called upon China to transplant labor-intensive factories onto the continent. This raises the question of whether such an industrial relocation will be done so as to jumpstart local economic development ¡ª as previously seen across East Asia and as described in the flying-geese (FG) paradigm of FDI. Judging from Asia's FG model, there are three crucial inducements for FDI in low-end manufacturing: (i) labor costs, (ii) exchange rates, and (iii) institutions.

Suggested Citation

  • Terutomo Ozawa & Christian Bellak, 2010. "Will China Relocate its Labor-Intensive Factories to Africa, Flying-Geese Style?," Transnational Corporations Review, Ottawa United Learning Academy, vol. 2(3), pages 6-9, September.
  • Handle: RePEc:oul:tncr09:v:2:y:2010:i:3:p:6-9

    Download full text from publisher

    File URL:
    Download Restriction: no

    More about this item


    China; labor intensive; exchange rates; institutions;


    Access and download statistics


    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:oul:tncr09:v:2:y:2010:i:3:p:6-9. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Denny Liao) or (Jen Ma). General contact details of provider: .

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.