Impact of Korean pro-market reforms on firm innovation strategies

The Impact of the Technological Capability of a Host Country on Inward FDI in OECD Countries: The Moderating Roles of Institutional Quality

“…Both of these aspects could be seen as a single analysis model through the U-shaped curve. Second, in the case of the institutional quality, the aspect of the "rules of the game" itself [33][34][35] was empirically shown through the moderation effect. The positive moderation effect [34,[55][56][57][58] and the negative moderation effect [58,59] were identified using four institutional variables.…”

“…Second, in the case of the institutional quality, the aspect of the "rules of the game" itself [33][34][35] was empirically shown through the moderation effect. The positive moderation effect [34,[55][56][57][58] and the negative moderation effect [58,59] were identified using four institutional variables. Through this study, the possibility of utilizing the TBP variable that can represent the technological capabilities was identified, and the extended FDI analysis model in which both the institutional and technological capability were considered was explored.…”

“…purposive entities designed by creators to maximize wealth, income, or other objectives defined by the opportunities afforded by the institutional structure of the society". However, institutions are not static; they continue to change through market reforms from a government-led economy to a market-led economy [34]. In other words, a company makes different strategic choices (i.e., R&D investment) as institutional settings change [34,35].…”

“…However, institutions are not static; they continue to change through market reforms from a government-led economy to a market-led economy [34]. In other words, a company makes different strategic choices (i.e., R&D investment) as institutional settings change [34,35]. Few studies in FDI literature have focused on FDI decisions incorporating institutional quality.…”

“…In the case of low technology-capability countries, the role of government is essential to initiate or operate businesses properly, especially for foreign-invested companies [34]. If there is little support from the host country's government, firms may face many obstacles in conditions of unestablished market constituencies.…”