Search results
1 – 10 of 147Ping Lv and Francesca Spigarelli
The purpose of this paper is to analyze the role of institutional distance and host country attractiveness in location determinants of Chinese Foreign investments in EU in the…
Abstract
Purpose
The purpose of this paper is to analyze the role of institutional distance and host country attractiveness in location determinants of Chinese Foreign investments in EU in the renewable energy sector, taking into account bilateral political and economic relations.
Design/methodology/approach
A firm-level Ministry of Commerce (MofCom) database of greenfield and non-greenfield Chinese investments abroad is used. A six fixed-effects logit analysis is performed.
Findings
Chinese firms tend to invest in EU countries with reduced rule of law; market affluence is an attraction factor for them, but they do not seem to be human capital asset-seekers. Countries with politically stable environment are most attractive to sales/services subsidiaries; while countries with good control of corruption, low trade barriers and encouraging foreign ownership are most attractive to manufacturing subsidiaries. A large market is the most attractive factor for R & D subsidiaries, and a rich market is the most attractive factor for manufacturing subsidiaries. Manufacturing subsidiaries are more technological asset-seekers. R & D subsidiaries are the most non-human capital asset-seekers.
Research limitations/implications
The study extends the state of the art of the literature by developing a theoretical framework, grounded on the influence of host country institutional factors and on endowment of resources on the location choice of Chinese investors. Further variables should be included in the future (industrial specialization of host country, cultural distance, bilateral ties).
Practical implications
Policy implications are relevant. They are related both to outward foreign direct investment attraction policies and to Europe-China cooperation dialogue. With reference to attraction policies, as Chinese green firms are technological asset-seekers, more than human capital asset-seekers, EU countries interested in partnering with Chinese investors should develop specific measures targeting encouraging technology spillover. Even R & D subsidiaries should be tempted with technology-oriented measures. With reference to Europe-China cooperation, the paper findings support suggestions for a more active European position on foreign investments in key European energy sectors.
Originality/value
The paper is grounded on an improved theoretical model, tested through a unique Mofcom firm-level database. Originality lies in the fact that the authors provide a sectoral insight. The need for sectoral analysis is fundamental as Chinese industrial development and internationalization path vary extensively across industry, due to policy interventions, supportive measures and prioritized initiatives. Zhang et al. (2011, p. 229) found that – specifically – the energy sector is highly sensitive to host country institutional context, therefore Chinese foreign direct investment are more likely to be exposed to regulatory and competitive pressure compared to other industries.
Details
Keywords
China was keen to send aid, but the experience has nevertheless led to reassessments of China’s engagement with the network’s members, the tangible results and the management of…
Details
DOI: 10.1108/OXAN-DB253417
ISSN: 2633-304X
Keywords
Geographic
Topical
There has been growing convergence between EU member states over the perceived China threat, especially related to economic matters. However, at the same time, EU countries are…
Details
DOI: 10.1108/OXAN-DB272249
ISSN: 2633-304X
Keywords
Geographic
Topical
Yuan Huang, Weixi Han and Douglas K. Macbeth
This paper aims to investigate the complexity of collaborations in supply chain networks, particularly the influence of horizontal collaborations (e.g. international joint…
Abstract
Purpose
This paper aims to investigate the complexity of collaborations in supply chain networks, particularly the influence of horizontal collaborations (e.g. international joint ventures) on vertical collaborations (e.g. supplier–manufacturer partnering relationships).
Design/methodology/approach
A multiple case study including four horizontal collaborations and five vertical collaborations within a supply chain network is presented in the context of the Chinese automotive industry. Data interpretation from interviews is structured by key collaborative activities and collaborative behaviors.
Findings
The analysis highlights a variety of collaborative behaviors under different types of collaboration and their interaction. The complexity of collaboration is revealed in a range of dimensions including culture diversity, drivers/facilitators, competitive/collaborative advantages and the engagement of all. Collaboration evolves as the structure of the supply chain changes; the key is to appreciate the existence of cooperation, competition and culture conflicts and to manage the trade-offs.
Research limitations/implications
A window of opportunity is presented for future research to investigate the complexity of supply chain collaboration in a wider industrial or geographical context, including statistical validation and comparative analysis.
Practical implications
A contingent view on supply chain collaboration is promoted to practitioners (e.g. international supply chain managers), where collaborative activities should be aligned with the motive and type of business relationships which may change as collaboration develops.
Originality/value
A rare empirical study captures the complexity of supply chain collaboration including the interaction between different forms. A dynamic collaboration approach recognizes the changing process, varying cooperation behaviors as well as characteristics of partners which have not been sufficiently reflected in the literature.
Details
Keywords