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Do Multinational Enterprises Affect Domestic Firms Productivity?

Author

Listed:
  • Filippo Reganati

    () (Dipartimento di Scienze Economiche, Matematiche e Statistiche - Facoltà di Economia - Università degli Studi di Foggia (Italy).)

  • Cesare Imbriani

Abstract

This work examines the main theoretical and empirical interpretations of the effects of FDI on the productivity of local firms and, in particular, the way in which productivity spillovers are related to regional differences. In studying the Italian manufacturing sector, using cross-sectional data, we found that the stronger presence of multinational enterprises increased the level of domestic productivity, but productivity spillovers were concentrated only in the north-western area of Italy. This indicates not only the existence of a geographic component in the spillovers from FDI but also the peculiarity of Italian manufacturing structure, where different models of production, such as the network enterprise model in the North-west, the industrial district model in the North-east and the backward model in the South, coexists.

Suggested Citation

  • Filippo Reganati & Cesare Imbriani, 2002. "Do Multinational Enterprises Affect Domestic Firms Productivity?," Quaderni DSEMS fr_se_2002, Dipartimento di Scienze Economiche, Matematiche e Statistiche, Universita' di Foggia.
  • Handle: RePEc:ufg:qdsems:fr_se_2002
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    Cited by:

    1. Anna Ferragina & Fernanda Mazzotta, 2014. "FDI spillovers on firm survival in Italy: absorptive capacity matters!," The Journal of Technology Transfer, Springer, vol. 39(6), pages 859-897, December.
    2. FERRAGINA, Anna Maria, 2013. "The Impact of FDI on Firm Survival and Employment: A Comparative Analysis for Turkey and Italy," CELPE Discussion Papers 127, CELPE - Centre of Labour Economics and Economic Policy, University of Salerno, Italy.
    3. repec:voj:journl:v:63:y:2016:i:3:p:313-323 is not listed on IDEAS
    4. Rosanna Pittiglio & Filippo Reganati, 2015. "Multinational Enterprises, Technological Intensity and Firm Survival. Evidence from Italian Manufacturing and Services Firms," Atlantic Economic Journal, Springer;International Atlantic Economic Society, vol. 43(1), pages 87-106, March.
    5. Ferragina, Anna & Pittiglio, Rosanna & Reganati, Filippo, 2012. "Multinational status and firm exit in the Italian manufacturing and service sectors," Structural Change and Economic Dynamics, Elsevier, vol. 23(4), pages 363-372.

    More about this item

    Keywords

    foreign direct investment; productivity spillovers.;

    JEL classification:

    • F23 - International Economics - - International Factor Movements and International Business - - - Multinational Firms; International Business
    • O30 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - General

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