The New Agenda for FDI: Evidence from South Korea and Germany
The purpose of this study is to find reasonable explanations why cross-border acquisitions of foreign firms are often the preferred strategy to enter new markets. Furthermore, we formalize the choice of market entry strategy for an individual multinational enterprise (MNE) from a dynamic perspective. It is argued that, incorporating a suitable treatment irreversibility, uncertainty and flexibility related to an MNEs invetsment decision will show, that future investment opportunities play an important role when it comes to deciding whether to enter the new market via greenfield or acquisition. We also briefly discuss stylized facts given evidence from South Korea and Germany.
|Date of creation:||Oct 2002|
|Date of revision:|
|Contact details of provider:|| Postal: |
Web page: http://mpra.ub.uni-muenchen.de
More information through EDIRC
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Alan J. Auerbach & Kevin Hassett & Joel Slemrod, 1993.
"Taxation and Foreign Direct Investment in the United States: A Reconsideration of the Evidence,"
in: Studies in International Taxation, pages 119-148
National Bureau of Economic Research, Inc.
- Alan J. Auerbach & Kevin Hassett, 1991. "Taxation and Foreign Direct Investment in the United States: A Reconsideration of the Evidence," NBER Working Papers 3895, National Bureau of Economic Research, Inc.
- Jamuna Agarwal, 1980. "Determinants of foreign direct investment: A survey," Review of World Economics (Weltwirtschaftliches Archiv), Springer, vol. 116(4), pages 739-773, December.
- Sarianna Lundan & John Hagedoorn, 2001. "Alliances, Acquisitions and Multinational Advantage," International Journal of the Economics of Business, Taylor & Francis Journals, vol. 8(2), pages 229-242.
- Peter J Buckley & Mark C Casson, 1998. "Models of the Multinational Enterprise," Journal of International Business Studies, Palgrave Macmillan, vol. 29(1), pages 21-44, March.
- Andersson, Thomas & Svensson, Roger, 1994. " Entry Modes for Direct Investment Determined by the Composition of Firm-Specific Skills," Scandinavian Journal of Economics, Wiley Blackwell, vol. 96(4), pages 551-60.
- Kogut, Bruce & Chang, Sea Jin, 1996. "Platform Investments and Volatility Exchange Rates: Direct Investment in the U.S. by Japanese Electronic Companies," The Review of Economics and Statistics, MIT Press, vol. 78(2), pages 221-31, May.
- Mutinelli, Marco & Piscitello, Lucia, 1998. "The entry mode choice of MNEs: an evolutionary approach," Research Policy, Elsevier, vol. 27(5), pages 491-506, September.
- Buckley, Adrian & Tse, Kalun, 1996. "Real operating options and foreign direct investment: A synthetic approach," European Management Journal, Elsevier, vol. 14(3), pages 304-314, June.
- William H Davidson, 1980. "The Location of Foreign Direct Investment Activity: Country Characteristics and Experience Effects," Journal of International Business Studies, Palgrave Macmillan, vol. 11(2), pages 9-22, June.
- Nunnenkamp, Peter, 2001. "Foreign direct investment in developing countries: What policymakers should not do and what economists don't know," Kiel Discussion Papers 380, Kiel Institute for the World Economy (IfW).
- Myers, Stewart C., 1977. "Determinants of corporate borrowing," Journal of Financial Economics, Elsevier, vol. 5(2), pages 147-175, November.
- Berkovitch, Elazar & Narayanan, M. P., 1993. "Motives for Takeovers: An Empirical Investigation," Journal of Financial and Quantitative Analysis, Cambridge University Press, vol. 28(03), pages 347-362, September.
- Bruce Kogut, 1991. "Joint Ventures and the Option to Expand and Acquire," Management Science, INFORMS, vol. 37(1), pages 19-33, January.
When requesting a correction, please mention this item's handle: RePEc:pra:mprapa:17970. 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: (Ekkehart Schlicht)
If references are entirely missing, you can add them using this form.