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Exports and local sales Patterns of United States and Japanese multinational enterprises in East Asia
- Source: Transnational Corporations, Volume 19, Issue 3, Dec 2010, p. 31 - 48
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- 31 Dec 2010
Abstract
This paper examines the local market and export orientation of the affiliates of Japanese and United States transnational corporations (TNCs) in East Asian countries using up-to-date affiliate-level panel data for the period 1989–2005. The main results suggest that the export strategies of TNC affiliates reflect the distinct national characteristics. Japanese affiliates in East Asia, especially in China, have a higher propensity to export to the home country compared with United States affiliates. United States affiliates in China have a higher propensity to export to third-country markets. On the other hand, the share of local sales for these two groups of foreign affiliates have become similar over time.
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