We examine the effects of a local content requirement (LCR) in the context of potential vertical cooperation between a host country''s upstream and downstream producers and foreign direct investment (FDI) in upstream manufacturing by a foreign multinational. The relationship- specific investment...

We analyze the determinants of the decision to invest abroad in particular configurations of overseas plants for 120 Japanese firms active in 36 well-defined electronic product markets. We find support for a structured internationalization decision model in which the decision to produce abroad...

This paper analyzes the determinants of the R&D intensity of 434 foreign affiliates, drawing on MITI''s benchmark survey of Japanese multinational firms in 1993. Acquired affiliates are responsible for more than half of overseas R&D expenditure and have significantly higher R&D intensities than...