1887

Transnational Corporations

This journal takes a fresh look at major legal, sectorial, regional and environmental issues facing corporations operating internationally. Released three times a year, it provides in-depth policy-oriented research findings on significant issues relating to the activities of transnational corporations.

English

Home-country measures to support outward foreign direct investment: variation and consequences

The state, especially in emerging economies, plays a key role in influencing firm behaviour, including outward foreign direct investment (OFDI). Often literature on the state’s influence on OFDI stresses direct state ownership. However, the state can influence OFDI in several ways, including policy support and subsidies; the literature has largely overlooked these effects. We build on key insights from the comparative capitalisms literature to put forward a series of propositions on how home-country measures – in both emerging and developed economies – to boost OFDI will influence, inter alia, the volume, location and mode of firms’ investments abroad. We thus contribute to the literature by showing how government policies across a wide range of countries influence an important aspect of firm behaviour that has economic, social and environmental implications.

English

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