Effects of Foreign Presence in a Transition Economy: Regional and Industrywide Investments and Firm-Level Exports in Ukrainian Manufacturing

Abstract

Standard-Nutzungsbedingungen:Die Dokumente auf EconStor dürfen zu eigenen wissenschaftlichen Zwecken und zum Privatgebrauch gespeichert und kopiert werden.Sie dürfen die Dokumente nicht für öffentliche oder kommerzielle Zwecke vervielfältigen, öffentlich ausstellen, öffentlich zugänglich machen, vertreiben oder anderweitig nutzen.Sofern die Verfasser die Dokumente unter Open-Content-Lizenzen (insbesondere CC-Lizenzen) zur Verfügung gestellt haben sollten, gelten abweichend von diesen Nutzungsbedingungen die in der dort genannten Lizenz gewährten Nutzungsrechte. Terms of use: Documents in

Does foreign investment benefit the exporting activities of Vietnamese firms?

“…This finding differs from Anwar and Nguyen () in their study of Vietnamese data from 2002 which finds positive horizontal spillovers and a range of other case studies which also find positive spillovers (Aitken et al, ; Alvarez & López, ; Blomström & Kokko, ; Greenaway & Kneller, ). Our result is consistent with previous studies which also find no significant impacts from foreign investment on domestic firm exports in the same industry (Lutz et al, ), and those studies that report significant negative horizontal spillovers (Kneller & Pisu, ). The finding here suggests that multinationals do not have significant influence on local firms' export performance in the same sector.…”

“…Barrios et al () conduct a study using firm‐level data for Spanish manufacturing firms over 1990–97 and find no significant evidence to support the hypothesis that local firms will export as a result of the export activity of foreign firms in the same sector. Using data on Ukrainian manufacturing firms for 1996–2000, Lutz et al () find no evidence of foreign investment‐linked export spillover effects on local firms. By applying Heckman's two‐step selection model, based on data collected from 494 firms in 2001–02, they show that the quality of the host country's institutional environment does not affect the decision by foreign‐owned firms to export.…”

“…While most of the existing research into foreign investment spillovers in developing countries focuses on productivity spillovers, fewer studies have examined the effects of foreign firms on the exporting activities of local enterprises. Although there is considerable evidence in support of the view that foreign firms have positive export spillover effects on domestic firms in developing countries (Aitken et al, ; Greenaway & Kneller, ; Greenaway et al, ; Lutz, Talavera, & Park, ; Nguyen & Sun, ; Sun & Anwar, ), other studies find no or even negative effects (Barrios, Görg, & Strobl, ; Chakraborty, Mukherjee, Lee, & Ki‐Dong, ; Estrin, Meyer, Wright, & Foliano, ; Meyer & Sinani, ). Using a large Vietnamese firm‐level data set, we address a number of questions about the relationship between foreign investment and the exporting activities of domestic firms.…”

Effect of Ethnocentrism and Patriotism on the Buying Intention of Malaysian National Car

“…According to Lutz, Talavera and Park (2008), ethnocentric customer believes that, it is wrong to buy foreign product because it will affect the national economy. Buying foreign products is also considered as betraying their country's economy (Verlegh 2013).…”

“…This situation has led to the increase in the competition in international as well as local market. According to Lutz et al (2008), the inclination towards consuming foreign products might cause economic downturn of one country due to the uncompetitive local products, higher unemployment level, and decrease local currency level.…”