Technological Asymmetries and Strategic Plant Location : The Case of Export-Platform Foreign Direct Investment

We consider the plant location decision of a multinational corporation (MNC), which has the option to invest in a more or in a less technologically lagging country, and which aims to use its foreign plant as an export-platform. We show that the plant location decision of the MNC depends on whether the host country firms can export, and on whether they are able to compete in the product market. We also show that a conflict of interest does not necessarily arise between the plant location decision of the MNC and the preferences of the host countries' governments

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Year of publication:	[2006]
Authors:	Guariglia, Alessandra
Other Persons:	Mukherjee, Arijit (contributor) ; Suetrong, Kullapat (contributor)
Publisher:	[2006]: [S.l.] : SSRN
Subject:	Auslandsinvestition \| Foreign investment \| Theorie \| Theory \| Betriebliche Standortwahl \| Firm location choice \| Multinationales Unternehmen \| Transnational corporation \| Produktionsstandort \| Production location

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