Rajah Rasiah This paper seeks to examine the importance of ownership in R&D intensities and export ownership in the automotive parts firms in China, Indonesia, Malaysia, Philippines and Taiwan. Consistent with the portfolio and ownership, location and internationalization theories of foreign direct investment about asset specific advantages, the pooled regressions show higher R&D intensities in...

We examine the information-processing demands top managers of the multinational enterprise (MNE) deal with in their portfolio of international operations by comparing the accuracy of foreign and domestic earnings estimates. Results indicate that the increase in information-processing demands is due to the complexity of managing foreign operations of the MNE. We also find greater information pro...

We investigate whether government subsidies to local input manufacturers encourage procurement from foreign firms. We use a comprehensive panel data of Irish firms from 1983 until 2002. Our data shows a spontaneity about linkages and relative insensitivity to grant aid, although it may be the quality rather than quantity of linkages that matters. The longevity of a foreign firm’s stay is one co...

This article discusses the recent development of offshoring in the software industry in Japan. Following interviews with several Japanese ICT companies, we reveal the present status and problems of offshoring software development, which cannot be recognized from its macro data. Japanese firms must expand offshoring because of increasing competition within Japan, although offshoring creates an o...

This study was inspired by the observation that foreign financial service firms operating in the City of London do not suffer the liability of foreignness to the extent suggested by theory. To examine the reasons for this departure from theory, the study advances a theoretical framework that distinguishes between three types of advantages that together account for the competitive performance of...

This is the first paper to consider a mixed oligopoly in which a public Stackelberg leader competes with both domestic and foreign private firms. The welfare maximizing leader is shown to always produce less than under previous Cournot conjectures. Introducing leadership also alters previous public pricing rules resulting in prices that may be either greater than or less than marginal cost depe...

In this paper we examine the relationship between firm characteristics and the decision of the firm to sell in the domestic market, export and/or invest abroad. We find that globalisation of Indian firms through the sharp increase in exports and foreign direct investment can be explained by firm characteristics. Data for a set of more than 1600 Indian firms for 10 years shows that exporting and...

Paying More to Hire the Best? Foreign Firms, Wages and Worker Mobility In the context of the debate on the labour-market consequences of globalisation, we examine worker mobility in order to identify the wage differences between foreign and domestic firms. Using matched employer-employee panel data for Portugal, we consider virtually all spells of interfirm mobility over a period of ten years. ...

Does more FDI make the world a riskier place for workers? We analyze whether an increase in multinational firms’ activities is associated with an increase in firm-level employment volatility. We use a firm-level dataset for Germany which allows us to distinguish between purely domestic firms, domestic multinationals, their foreign affiliates, and foreign firms that are active in Germany. We dec...

We study the role of institutional investors around the world using a comprehensive data set of equity holdings from 27 countries. We find that all institutional investors have a strong preference for the stock of large firms and firms with good governance, while foreign institutions tend to overweight firms that are cross-listed in the U.S. and members of the Morgan Stanley Capital Internation...