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Foreign Direct Investment in the United States: An Analysis by Country of Origin

Author

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  • Robert Grosse

    (American Graduate School of International Management)

  • Len J Trevino

    (University of Miami)

Abstract

Given the large size and rapid growth of foreign direct investment in the United States, this subject is a central concern of U.S. firms and U.S. government policymakers. This study explores the factors that contribute to the explanation of FDI in the United States by country of origin of investment. Evidence from the past twelve years shows that the main significant positive influences are home country's exports to the United States and home country market size. Significant negative influences include the home country's imports from the United States, the cultural and geographic distances of the home country from the United States, and the exchange rate (fx/$).© 1996 JIBS. Journal of International Business Studies (1996) 27, 139–155

Suggested Citation

  • Robert Grosse & Len J Trevino, 1996. "Foreign Direct Investment in the United States: An Analysis by Country of Origin," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 27(1), pages 139-155, March.
  • Handle: RePEc:pal:jintbs:v:27:y:1996:i:1:p:139-155
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