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Foreign Multinationals and Industrial Development in Africa

In: Multinational Enterprises in Less Developed Countries

Author

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  • John Cantwell

Abstract

In an earlier paper (Cantwell, 1986), it was argued that despite a shift in investment towards the newly industrialising countries of South East Asia and Latin America, investment in Africa has remained important for European multinationals. The firms of the UK and France, and to a lesser extent West Germany and Italy, have had traditional historical links with Africa.1 Although these links have been relatively weakened in the last 20 years or so, they have not been completely broken. This paper further develops the statistical evidence on the investment of foreign multinationals in Africa, drawing upon a variety of sources. It is particularly concerned to establish the sectoral distribution of foreign direct investment in Africa, by comparison with other developing regions. The existing structure of investments by foreign multinationals in Africa is then related to the prevailing pattern of economic activity in African countries, and their current and future impact on local development is discussed in the light of this.

Suggested Citation

  • John Cantwell, 1991. "Foreign Multinationals and Industrial Development in Africa," Palgrave Macmillan Books, in: Peter J. Buckley & Jeremy Clegg (ed.), Multinational Enterprises in Less Developed Countries, chapter 9, pages 183-224, Palgrave Macmillan.
    • Handle: RePEc:pal:palchp:978-1-349-11699-7_9
    DOI: 10.1007/978-1-349-11699-7_9
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