Harald Bathelt, Maximilian Buchholz and John A. Cantwell
While conventional views of foreign investment activity primarily relate to efficiency-seeking investments, the authors argue that most other outward foreign direct investments…
Abstract
Purpose
While conventional views of foreign investment activity primarily relate to efficiency-seeking investments, the authors argue that most other outward foreign direct investments (OFDIs) likely have positive effects on income development in the home region. Data on the US urban system not only illustrates this but also shows that this impact is not equal in all city-regions. The purpose of this paper is to develop an explanation as to why high- and low-income cities are associated with self-reinforcing cycles of OFDI activity that have different home-region impacts.
Design/methodology/approach
Conventional views assume that inward foreign direct investments (IFDIs) have a positive impact on target regions, while OFDIs are often treated as the flip side of this story, being seen as having negative effects by shifting jobs and income abroad. This paper counters this logic by developing a conceptual argument that systematically distinguishes different types of OFDIs and relates them to economic development effects in the home (investing) region.
Findings
Using a co-evolutionary conceptualization, this paper suggests that many high-income cities are characterized by a virtuous cycle of development where high, successful OFDI activity generates both positive income effects as well as incentives to engage in further OFDIs in the future, thus leading to additional income increases. In contrast, it is suggested that low-income cities are characterized by what we refer to as vicious cycles of development with low OFDI activity, few development impulses and a lack of incentives and capabilities for future investments.
Originality/value
This paper develops a counter-perspective to conventional views of OFDI activity, arguing that these investments have a positive impact on regional income levels. The authors develop a spatially sensitive explanation which acknowledges that OFDIs do not trigger a linear process but are associated with diverging inter-urban development paths and may contribute to higher levels of intra-urban inequality. From these findings, the authors derive conclusions for future research and public policy.
Details
Keywords
Aim of the present monograph is the economic analysis of the role of MNEs regarding globalisation and digital economy and in parallel there is a reference and examination of some…
Abstract
Aim of the present monograph is the economic analysis of the role of MNEs regarding globalisation and digital economy and in parallel there is a reference and examination of some legal aspects concerning MNEs, cyberspace and e‐commerce as the means of expression of the digital economy. The whole effort of the author is focused on the examination of various aspects of MNEs and their impact upon globalisation and vice versa and how and if we are moving towards a global digital economy.
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The purpose of this study is to investigate the impact of an industry’s connectedness to foreign countries on knowledge sourcing.
Abstract
Purpose
The purpose of this study is to investigate the impact of an industry’s connectedness to foreign countries on knowledge sourcing.
Design/methodology/approach
The authors examine the research model through probit regression techniques to the 472,303-patent data across 16 industries derived from the United States Patent and Trademark Office.
Findings
The results suggest that international connectedness increases the accessibility of foreign knowledge and helps the accumulation of technological capability. Thus, this paper provides a better understanding that international connectedness can be critical for exploiting knowledge dispersed worldwide and influencing intra- and interindustry knowledge-sourcing behavior in the home country.
Originality/value
While prior studies have mainly paid attention to the relationship between parents and subsidiaries in foreign countries for international knowledge sourcing, the authors attempt to analyze international and local knowledge sourcing with a broader set of knowledge sourcing channels at an aggregate level. By considering an industry’s export intensity and inward foreign direct investment, this study reveals specifically how the extent of an industry’s international connectedness influences knowledge sourcing from both abroad and locally.
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Vítor Corado Simões, João Pedro Rocha, Anke Piepenbrink, John Cantwell and Philippe Gugler
This paper comes in the context of the European International Business Academy (EIBA) History project, and the long period analysed was broken down in six time windows (1975–1981…
Abstract
Purpose
This paper comes in the context of the European International Business Academy (EIBA) History project, and the long period analysed was broken down in six time windows (1975–1981, 1982–1988, 1989–1995, 1996–2002, 2003–2012; and 2013–2020), in line with the periodisation followed in writing such history. The main purpose was to identify the key themes of the papers presented at EIBA conferences between 1975 and 2020.
Design/methodology/approach
The analysis was carried out drawing on topic modelling, a machine-learning statistical solution that is capable of processing large volumes of text data.
Findings
A set of 5,296 Competitive and Workshop papers was processed with the use of topic modelling. The method enabled to identify 24 underlying research topics. These were then grouped into nine higher-level categories. The results show a consistent growth in the number of papers presented, especially in the periods going from 1989–2012. This is a sign of an increasing attractiveness, openness and attendance in EIBA’s annual conferences. Overall, the topics with the highest probabilities were topic 22 (Measuring and Assessing IB performance), followed ex-aequo by topics 13 (Evolutionary Approaches, Matrix Structures and Managerial Challenges) and 20 (Comparative Management Education and Behaviour) and then by topic 4 (Born Globals and International New Ventures). A key finding was the change in methodological approaches over time, with a significant increase in the use of sound quantitative and qualitative methods, instead of broad narratives mostly based on descriptive statistics.
Research limitations/implications
Latent Dirichlet Allocation (LDA), as a quantitative approach to analyse text data, has some limitations. LDA, along with other distributional models, may identify degrees of semantic relations between words, but is not able by itself to specify the kind of relation, entailing a possible loss of contextual information which might have been able to further assist in the study. Another limitation stems from the use of very old paper proceedings, whose quality was sometimes low, making reading difficult.
Practical implications
This research provides a longitudinal perspective of the evolution of the key research topics in international business over about 45 years. Its findings are very important for all those who are interested on the evolution of the IB field.
Social implications
The research provides an interesting perspective of the development of a scientific field as well as of a scientific community.
Originality/value
The main contributions of this research are fourfold. Firstly, to the best of the authors' knowledge, it provides the most complete longitudinal analysis about the evolution of IB research topics published so far. Secondly, it extracts relevant information about the evolution of the IB research issues addressed at EIBA’s annual conferences, enabling a 46-year longitudinal perspective on research interests as they emerged. Thirdly, it provides a successful application of topic modelling for the analysis of large volumes of textual data. Fourthly, it addresses the entirety of the text documents, as opposed to specific sections or keywords only, ensuring increased analytical depth.