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This paper examines rent determinants and their relationship with commercial office property rents.

The method adopted in this study differs from that of previous studies on this topic. Firstly, based on the survey of the viewpoints of experts, Relative Importance Index (RII) analysis was used to identify rent determinants and to rank and ensure their relevance and validity in the Sri Lankan context. Secondly, sampling of data related to 115 office properties collected from property tenants and landlords located within the central built-up area of Colombo City was conducted using a multi-methods approach to carry out an objective hedonic analysis of office rents.

This research utilizes RII and hedonic models to provide insights into determinants and relationships. Both analyses confirm that the three top drivers of commercial office rent are distance from the major town center, availability of parking space and the condition of the property. In addition to these three factors, hedonic models reveal that the age of the property and the availability of a conference hall also play a relevant role in explaining office rents. Given the disparities in the findings of the two methods, further examination was able to confirm that factors such as distance from the major town center, parking availability, age of the property, presence of a conference hall, building condition, floor size, business type and type of building are likely to influence commercial office rent. These findings reflect elements such as the quality, newness and better facilities of different office properties.

This systematic study and analysis of office rent for the guidance of real estate investors can support sound investment decisions, potentially leading to more financially sound property development, reduced public debt levels and improved public-private financing. Further, the research findings offer valuable insights to real estate investors, developers and planners regarding location decisions for office development quality enhancements in future office developments.

This research provides fresh insights into the local scale office market, an area where limited evidence currently exists. Further, the methodology adopted provides evidence that hedonic analysis, supported by a multi-method approach, can mitigate the subjective judgments made by professionals.

This paper sets out to analyze the determinants of foreign direct investment (FDI) on both the country and regional level through the extensive review of past research studies, as well as through the development of a multiple regression model for identifying key determinants of FDI at the regional level in China during the critical year of 2002.

The development of a multiple regression model to identify statistically significant determinants of FDI by region in China.

As reforms continue to take place, FDI in China has been unevenly distributed. This paper examines five potential determinants of FDI in 30 regions (including provinces, centrally controlled municipalities, and semi‐autonomous regions) of China using a regression model. The specific focus is on 2002, as it is the first full year after China's accession to the World Trade Organization, and the first year in which China exceeded the USA in attracting FDI. From this initial study, one can conclude that the government should consider encouraging capital‐intensive FDI through the further development of a skilled workforce. This means increasing funding for higher education, and infrastructure, while also encouraging more openness in state‐owned enterprises. This paper sets up further research that may help expose regions with greater potential for FDI, as well as identifying regions which need to improve certain conditions in order to receive more FDI.

This paper analyzes the determinants of FDI by region in China in 2002. This year is particularly interesting as it is both the first full year after China's accession to the World Trade Organization, as well as the first year in which FDI was greater in China than in the USA While this research study is only a snap shot of a topic that is of increasing importance to China, it has direct relevance to the FDI development efforts of the individual regions. This study provides evidence that GDP that proxies for the market size and potential is shown to be a big attraction for FDI. Labor quality and the progress of reform or the degree of openness are also important determinants of the distribution of FDI. There is some mild evidence that high labor cost deters the inflow of FDI and the level of infrastructure has positive relation to FDI. These results have important implications for both the central and regional governments as they can be useful in helping the authorities to allocate funds and resources which will help attract FDI.

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.

We suggest that the entire world may not always be the appropriate frame of reference in analyses of Multinational Enterprises (MNEs) location choices. In some industries and activities, more narrowly defined geographic areas, such as regions and cities, are more relevant level of analyses. Employing global cities as the geographic frame of reference, we extend the theory of the location choices of MNEs by challenging the assumption that location attributes have identical values for all MNEs. Rather, we explicitly acknowledge the relative value of such attributes for individual MNEs, and search for the firm-specific characteristics that affect this variation. The empirical testing is based on analysis of 673 financial and professional service MNEs that entered New York and London via mergers and acquisitions (M&As). The findings confirm that it is the interaction between location and firm-specific attributes, rather than each of these independently, which affects location choices.

The chapter adopts the international production typology offered by the OLI paradigm whereby firms are classified principally as market seekers, efficiency seekers, natural resource seekers or partner seekers. These motives to reach overseas are tested against 26 location factors, categorised under ‘business climate’, ‘market conditions’, ‘local resources’ and ‘incentive packages’, and three sets of control variables: industry, age and entry mode. The empirical analysis based on firm-level data from 15 sub-Saharan countries shows that, for all types of firm, the presence of local markets, regional markets and key clients are the positive determining location factors, followed by business climate factors, such as labour costs, the availability of skilled labour, raw materials and local suppliers. For market-seeking MNEs, the political and economic stability, infrastructure, country's legal framework and the transparency of investment all rate high. Importantly, the implication for host-nation promotion agencies is that once the motive to enter their economies is clear, they can – and should – play a skilful negotiation game with MNEs at the entry point itself. Based on the empirical analysis, a conceptual two-step approach to understanding FDI decisions, intimately linked to the liability of foreignness concept, is suggested.

Looks at ways of extracting the maximum marketing advantages out of a hotel/motel′s location. Sets out a methodology for formally determining the value, and price of a hotel or motel′s location in setting room rates and presents an empirical study undertaken on motels in Ballina, Australia.

This paper proposes locational ambidexterity as a location-specific factor based on an operation flexibility perspective, and explores why and how multinational corporations (MNCs) proactively deal with uncertainty by valuing locational ambidexterity in making location decisions.

Location choice data for foreign direct investment (FDI) at a sub-national level in China is used to test the role of locational ambidexterity.

We find that FDI generally prefers locations with high ambidexterity. Moreover, investments from a heterogeneous country context are more sensitive to locational ambidexterity than those from a similar country context. However, there is no significant evidence that wholly owned investments favor locational ambidexterity more than do international joint ventures.

An alternative operationalization of locational ambidexterity may be needed. Future research could explore the sources of locational ambidexterity, identify other firm- and industry-level factors that could alter the value of ambidexterity, investigate how MNCs integrate locational ambidexterity into organization-specific option creation strategies and test the ambidexterity perspective with micro-level location choice data.

Locational ambidexterity may reduce the overall risk and adjustment cost of future changes. FDI may choose a location with high ambidexterity, i.e. a balanced portfolio of location-specific determinants, under uncertainty about the future.

Drawing on the notion of location flexibility from Buckley and Casson (1998), this study identifies a new location character, locational ambidexterity, and proposes that MNCs address uncertainty by choosing ambidextrous locations that offer more flexibility for MNCs to change or respond to potential volatility. Selecting locations with high ambidexterity is thus an alternative and complement to the organization-specific flexibility creation strategies suggested by the literature on real option and flexibility.

Remanufacturing is a process whereby value from old products is recovered by replacing and recovering used components to bring such products to a new or like-new state. Today, both original equipment manufacturers (OEMs) and third parties are engaged in remanufacturing activities, investing in many locations throughout Asia. The purpose of this paper is to examine the reasons for initiating remanufacturing activities as well as the location determinants for the remanufacturing sector in Asia.

The authors conduct a multiple case study. Triangulation is applied to gain objective views from interviewing three OEMs, one logistics firm, and three local small enterprises. Real options theory is the theoretical lens used to examine the location choice of the OEMs.

Firms engaged in remanufacturing tend to co-locate facilities with existing manufacturing facilities, and those investing in new sites for remanufacturing view the regulatory environment as the most important factor. OEMs tend to leverage on existing manufacturing facilities or third-party remanufacturers to reduce their cost of commitment when starting remanufacturing at new locations.

The sample size is still small for the generalization of the results. Further empirical study is needed to test the propositions from this paper.

This paper could assist managers and decision makers in the multinational corporations to design appropriate logistics-related solutions for remanufacturing in Asia.

The authors work contributes to the theory on remanufacturing location determinants. It shows that OEMs and third-party remanufacturers can have a collaborative relationship instead of the commonly assumed competitive one, which is currently not found in the literature.

The purpose of this paper is to identify location factors that Chinese managers look for when making internationalization decisions and how the factors stack up in perceived importance. Over the past ten years, Chinese enterprises have become more multi-national in nature. China’s outward foreign direct investment (FDI) has been growing at a phenomenal rate. In 2012, China became the third largest investor, after the USA and Japan; and the largest investor among developing countries. How can host governments attract more of this Chinese capital? What are some short- to medium-term policies that host governments can initiate to make their respective nations attractive to Chinese companies?

The authors consider these questions by using a best-worst choice exercise among 114 senior corporate decision makers of Chinese companies who have or are planning to globalize. We rank 16 most common determinants that influence FDI location choice and evaluate their degree of importance.

The authors propose five “low hanging fruits” that policy makers should consider that could ensure their countries come within the radar of Chinese multi-nationals. These include promoting a clean and efficient business environment and strengthening/establishing political and economic relationships with China.

The originality of this study lies in the methodology of the study that forces respondents to make a trade-off in their decisions, which in a way is closer to reality. The respondents are also actual decision makers in their companies with regards to international investment decisions.