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Using an institution-based view, this study aims to conceptualize how sub-national institutional characteristics are likely to explain location choice of multinationals’ research and development (R&D) subsidiaries.

In a conceptual paper, this study explores specific institutional facets of the regional environments within a country that are capable of explaining, at least in part, the location choices of multinational corporations’ R&D subsidiaries.

This study thus explores the more nuanced influences of the institutional environments at a subnational level and develops propositions to explain location choices based on the differences of the institutional environments.

This study contributes to international business theory by incorporating a location-specific analysis that contrasts to the usual country-level observation on the determinants of firms’ location decisions.

Aim of the present monograph is the economic analysis of the role of MNEs regarding globalisation and digital economy and in parallel there is a reference and examination of some legal aspects concerning MNEs, cyberspace and e‐commerce as the means of expression of the digital economy. The whole effort of the author is focused on the examination of various aspects of MNEs and their impact upon globalisation and vice versa and how and if we are moving towards a global digital economy.

The purpose of this paper is to examine the determinants of foreign direct investment location – specifically whether firms enter a particular market or not. Drawing from the ecology and institutional theories, the paper identifies firms' own past (behavioral inertia) and rivals' past choices (behavioral mimicry) as key determinants of location selection. The paper identifies the differences between developing country multinationals (MNCs) and developed country MNCs and their (differences)' implications for the relative influence of mimetic versus inertial forces.

A unique and comprehensive database about the location choices of 204 Chinese firms between 1992 and 2005 was constructed and conditional logistic regressions were deployed to assess the direct effects of behavioral inertia/mimicry, and the moderating effect of host country environment, on the location choices of the sampled firms.

The paper finds that behavioral inertia has a stronger impact on the location decisions of Chinese MNCs than behavioral mimicry. It also finds that the host country's institutions, openness, and policy stability moderate the relationship between behavioral mimicry and inertia, on one hand, and location choice, on the other hand, possibly because of these factors' influence on the level of perceived uncertainty.

This is the first paper modeling the simultaneous effects of behavioral inertia and mimicry on location choice and the moderating effect of host country environment on these relationships. The strong empirical support for all the predictions lends credence to the conceptual foundations of the hypothesized relationships. The focus on developing country MNCs, which possess several distinctive characteristics, and the unique dataset, should also enhance the paper's appeal.

This paper explores the major factors influencing multinational companies’ (MNCs) propensity to change the level of resource commitments during financial crises in emerging markets. Favorable changes in the host government policies, market demand, firm strategy, and infrastructural conditions are hypothesized to influence the MNCs’ decision to increase resource commitments during a crisis. The hypotheses are tested with data collected in a survey of 82 MNCs during the recent Argentine financial crisis (late 2002). While all the above variables are considered by the respondents as generally important reasons for increasing resource commitments during a crisis, only favorable changes in government policies significantly influence MNCs’ decisions to change the level of resource commitments during the Argentine financial crisis. The research, managerial implications, and policy‐making implications are discussed.

In this study, we examine the location strategies (e.g., developing versus developed countries) of Chinese multinational firms (Pantzalis 2001). We argue that domestic firm‐specific ownership advantages of a firm, in the form of larger size and higher degree of diversification, will induce internationalization into developed countries rather than into developing countries. We also predict that internationalization into developed countries will help performance, but internationalization into developing countries will hurt performance. Based on an analysis of data on 154 Chinese‐listed MNCs from 1992 to 2002, we find support for our predictions.

This research aims to assess variations of motivations when studying international location decisions. In particular, this study aims to assess the influence of diverse motivations – seeking technology, seeking brand assets, seeking markets, seeking resources and escaping institutional constraints – as determinants of the international location choice of emerging market multinational enterprises (EM MNEs) entering least developed, emerging, and developed countries.

The authors develop a set of hypotheses based on the ownership–location–internalization framework and complement it with an institutional perspective. The conceptual model posits that the different internationalization motivations (seeking technology, seeking brand assets, seeking markets, seeking resources and escaping institutional constraints) will impact the location choice of EM MNEs in developed economies, emerging markets or least developed countries. This study uses the 2013 survey data collected by the China Council for the Promotion of International Trade and the Asia Pacific Foundation of Canada. The final sample of analysis of this research includes 693 observations.

After controlling for several variables, two-stage Heckman regressions show there is a variation of motivations when EM MNEs enter least developed countries, emerging markets and developed economies. EM MNEs are motivated to enter least developed countries to seek markets and resources. Conversely, those firms enter developed countries in their search for technological assets and to escape institutional constraints at home. While the present study findings show a clear difference in the motivations that lead to location choice in least developed vs developed countries, the results are not as clear for location in other emerging countries.

The paper offers empirical support for the importance of motivations as crucial determinants of location choice.

This paper provides a detailed quantitative study on the internationalization location choice of EM MNEs based on their motivations. Though theoretical models underscore the importance of motivations, we know very little about how, in practice, motivations drive location choice. This study contributes to the international location choice literature a deeper understanding of how diverse motivations drive choices of expansion into developed economies, emerging markets or least developed countries.

The conventional wisdom suggests that the lack of prior host country-specific experience and a higher institutional distance deter multinational enterprises (MNEs) from entering a foreign country. However, past studies report that Chinese MNEs show an unconventional risk-taking behavior choosing foreign locations, where they have no prior experience or there is an increased institutional distance. Drawing on the institutional theory, the purpose of this paper is to argue that Chinese Government official visits to the host country may act as a risk-reduction device, thus providing an explanation for such an unconventional behavior.

The authors develop two hypotheses regarding how Chinese Government official visits moderate the impact of host country-specific experience and institutional distance on the location choice of Chinese MNEs. The authors test the hypotheses using a sample of investment location decisions by Chinese MNEs in Latin America.

The authors find that government official visits mitigate the lack of firm’s prior host country experience. However, only high-level government visits reduce institutional distance.

The authors contribute to the international business literature by analyzing how home country government diplomatic activities may pave the way of host country institutional environment for foreign MNEs from that home country. In addition, the authors provide an additional explanation for the unconventional risk-taking behavior of Chinese MNEs. Finally, the authors also contribute to a better understanding of the decision-making process of emerging-market MNEs entering other emerging economies.

The purpose of this paper is to analyze the patterns of location of key activities for break-out in corporate competitiveness. The key objective is to identify linkages that may exist among the location of corporate center activities, innovation capabilities and the break-out.

Patterns of location of corporate center across the world have been explored first, using sample data from Global 500. For the context of innovation and India, two polar locations were selected. The patterns in the growth of focal firms from the locations were evaluated using select competitiveness criteria such as revenues, profits and assets, based on data of a larger sample from Global 2000.

Findings support the view on “role of location with innovation clusters” such as Bangalore, particularly for competitiveness of born global firms. Surprisingly, Mumbai has increased its percentage share of contributions in terms of revenues and profits, indicating sustenance of cluster, entrepreneurial and other advantages.

Considering the enormous scope for enhancing contributions of emerging-country multinational enterprises to the world economy, decisions related to break-out in competitiveness are critical. Depending on strategic intent and the role of innovation and internationalization, firms can take better decisions related to the location of specific corporate activities to foster multinational enterprise (MNE) competitiveness.

The findings may inspire key stakeholders to take decisions that enhance sustainability of city clusters and communities.

Analyzing the role of location of key corporate activities, for the phenomenon “break-out to higher stages of competitiveness”, is a unique contribution. These concepts and findings can be of high value to firms and MNEs thinking long term about location or relocation of corporate center activities, particularly for innovation.

This paper aims to link location choice and ownership structure to the debate on the multinationality–performance relationship.

This paper draws on a panel data set that covers 1,321 emerging economy multinational enterprises (EMNEs) and includes 4,227 observations from 44 emerging economies between 2004 and, 2013.

The empirical results find that multinationality has a positive effect on EMNEs’ performance, and that this positive effect is larger for their investments in developed countries than in developing countries. The study also finds that this positive effect of foreign operation in developed countries switch to negative at higher levels of multinationality for privately owned EMNEs than for state-owned EMNEs.

This paper provides new empirical evidence to support an institutional perspective of the internationalisation of EMNEs that are investing in developed countries, contributing to the multinationality-performance literature, highlighting the importance of foreign direct investment location decision and ownership structure.

This paper investigates the location determinants of foreign investors and how the location decision‐making impacts on their knowledge transfer strategies. Survey data were collected in Yunnan, a southwest province of China. By examining two different sets of location factors at both the national and provincial levels, the research found that location factors at the provincial level, rather than at the national level, directly influenced foreign investors’ knowledge transfer strategies. The research also found that the support of Yunnan’s local government compensated for the underdeveloped endowment conditions of the province, significantly increasing knowledge transfer of foreign investors. The research suggests that foreign investors need to make appropriate location selection to efficiently exploit their ownership advantages. A well‐structured policy regime is required of host countries in order to encourage knowledge transfer by foreign investors.