The market-internalization framework can be applied to non-economic institutions because society's nonmarket subsystems – political, social and cultural – are subject to failures just like economic markets, and firms can contribute to their repair or replacement by selectively, strategically...

The paper presents a simple general equilibrium model that formalizes internationalization in the Eclectic Paradigm based on a reconfiguration of concepts taken from the new classical economics literature. The model enables us to address simultaneously the role of ownership, location and...

The paper challenges the view that competitive advantage is a necessary condition for the emergence of the multinational enterprise. It formally derives the conditions under which multinational enterprises may emerge without possessing a competitive advantage vis-a-vis their rivals. This...

There is anecdotal evidence suggesting that those losing from globalization influence policy makers to decrease the openness of their countries to globalization, as evidenced by signing international trade and investment agreements. Surprisingly, this influence has never been examined...