• Journal of Industrial Convergence
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• v.1 no.1
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• pp.71-97
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• 2003

In this study, the main goal is conduct an empirical research for MNC's(multinational companies) contingency factors and entry modes. Through examining elements of success and limitations of foreign companies in the domestic market, a resulting purpose can be suggested such as developing attractive foreign investment policy. The results in this study are as below. The results from Logistic Regression Analysis there were indications for preference factors for WOS (Wholly Owned Subsidiary). The factors were 'Strategic Motivation', 'Intelligent Property', and 'Market Latent Purchasing Power'. For JV (Joint Venture) there were preferred factors such as 'Degree of Using Product Factors', 'Differential Products Development Ability', and 'Systematic Incentives'. However, this thesis is limited to identifying clear causal relationship between the 'Performance' of foreign investment enterprise which entered WOS or JV and various factors which were suggested in the contingency factors (independent variables).

• Asia-Pacific Journal of Business Venturing and Entrepreneurship
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• v.11 no.4
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• pp.79-89
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• 2016

FDI has been considered as a source of competitive advantage by bringing scientific and technological innovation capabilities to domestic firms via organizational learning. Acquiring knowledge and technology by learning accelerates firms to be innovative. In the way of innovation, firms seek for innovation as a whole but innovation can be clarified as two different parts, product and process innovation. Different from product and process innovation, organizational innovation is not directly related to productivity or outcome but it is closely related to product and process innovations. As a kind of firm innovation, organizational innovation may be considered as preceding product and process innovation and it may positively mediate the relationship between in-bound FDI and firms' product and process innovations. In this paper, the relationship between FDI and product and process innovation will be explained by organizational learning and the way of organizational innovation affects to the relationship will be examined.

• The Journal of the Korea Contents Association
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• v.19 no.11
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• pp.288-296
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• 2019

The Korean textile industry faces a crisis, and overseas expansion is increasing. Indonesia, the third trading partner in the Korean textile industry, is the fifth largest country in terms of Korea's direct investment. This study intends to suggest a development strategy for Korean fabric mills to advance into Indonesia. First, the SWOT representative factors of the fabric mills considering the circumstances of Indonesia were derived through literature research and expert meeting. In order to derive the priority among these, AHP analysis was performed to derive the final weight and priority of the SWOT factors. Through this, I would like to suggest a management strategy that can be helpful to companies that have already entered Indonesia and are planning to enter the country in the future.

• Journal of the Economic Geographical Society of Korea
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• v.2 no.1_2
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• pp.145-167
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• 1999

The aim the this paper is to explore the processes of three Korean consumer electronics chaebols'entries into, and exits from tile EU in the context of European integration and enlargement and at the global, regional(EU), national and local level. Korean FDI in the EU has increased sharply since the late 1980s, while interacting with the processes of European integration and enlargement. In particular, the chaebols'FDI was caused by reactions against the intensification of Euro-trade regulations. As a result, these defensive entries have led such chaebols to create a strategy of ‘defensive Europeanisation’through the formation of forward and backward linkages between chaebols’affiliates and Korean suppliers within the EU. Nonetheless, defensive FDI has given rise to exits through active relocation within and outside the EU, since the ‘late 1980s’due in the main to (1) sensitive reactions against changing EU trade regulations and (2) failures to maintain cost-competitiveness in particular host regions. Along with these trends, chaebols’entries and exits are placed in contingent and paradoxical structures of the global -regional - national-local nexus, which has resulted from the mismatch of different EU policies such as trade, inward investment and regional policies.

• Journal of International Area Studies (JIAS)
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• v.13 no.1
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• pp.135-156
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• 2009

The two waves of EU enlargement in 2004 and 2007, have been milestones of European integration. While research has been conducted into the impact of these events on both the European and the global economies,1 there have been few attempts to assess the effects of EU enlargement and the introduction of the euro on countries such as Russia, which neighbour the EU but currently have no perspective of accession. This paper aims to provide an assessment of the effects that EU enlargement and the introduction of the euro have had on Russia, the largest country neighbouring the EU. In particular, it focuses on trade and investment links between the EU and Russia, as well as the use of the energy by Russian residents and authorities. Economic links between Russia and the EU are found to have strengthened considerably in the areas of trade, investment and other financial flows in recent years. Strong growth, particularly in Russia, as well as the high price of oil and gas, Russia's major export items, has facilitated this expansion of trade and finance. Moreover, available data do not suggest that EU enlargement has had a negative impact on Russia in terms of trade or investment diversion. Thus, the strategic partnership between Russia and the EU has been increasingly underpinned by an expansion of cross-border economic activities. Thus, the paper contributes to two broad strands of literature on this subject, namely the impact of regional trade and economic arrangements on non-member countries and the international role of currencies.

• Journal of Korea Port Economic Association
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• v.24 no.3
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• pp.37-55
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• 2008

This paper attempts to examine the effect of EXPO 2012 Yeosu on the economy of Gwangyang bay area. Based on previous successful EXPOs, We identified four major positive effects (direct economic impact, regional infrastructure developments, redevelopment of slum areas and industrial complex, and internationalization of Gwangyang bay area). Especially, EXPO 2012 Yeosu will contribute to make the job creation of 97,842 employees and promote tourism industry. To maximize the above positive effects of EXPO 2012 Yeosu, we suggest several strategic alternatives in this paper. First of all, we need to make several plans for realizing the specialized theme of EXPO 2012 Yeosu. Second, local governments should create a more favorable business environment for foreign investors. Third, we have to make the strategic tourism programs to attract foreign tourists. Finally, local governments need to make the several communication strategies of utilizing mass media and non-mass media.

• The Korean Journal of Financial Management
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• v.23 no.1
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• pp.243-266
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• 2006

This paper tests cross hedging performance of the KOSPI 200 stock index futures to hedge the downside risk of the KOSPI, KOSPI 200 and KOSDAQ50 spot market. For this purpose we introduce the minimum variance hedge model, bivariate GARCH(1,1) and EGARCH(1,1) model as hedge models. The main results are as follows; First, we find that the direct hedge performance of KOSPI 200 index futures is better than those of indirect hedge performance. second, in case or cross hedge performance the hedge effect of KOSPI 200 stock index futures market against KOSPI 200 stock index spot market is relatively better than those of KOSPI 200 index futures against KOSPI and KOSDAQ spot position. Third, for the out-sample, hedging effectiveness of the risk-minimization with constant hedge ratios is higher than those of the time varying bivariate GARCH(1,1) and EGARCH(1,1) model. In conclusion, investors are encouraged to use simple risk-minimization model rather than the time varying hedge models like GARCH and EGARCH model to hedge the position of the Korean stock index cash markets.

• Asia-Pacific Journal of Business
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• v.12 no.4
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• pp.289-297
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• 2021

Purpose - This study analyzed the correlation between economic liberalization and foreign direct investment. The purpose of this study is to seek ways to attract foreign direct investment from developing countries. Design/methodology/approach - This study analysed with observations of 19 from 2000 to 2018 using a fixed effect model, a random effect model, and a two-way fixed effect model. Findings - First, it was found that economic liberalization had a positive effect on attracting foreign direct investment in the early stages of economic liberalization. Second, it was found that economic liberalization in the deepening stage of economic liberalization had a negative effect on attracting foreign direct investment. In general, it was found that the higher the level of economic liberalization in developing countries is not accompanied by innovative changes in the industrial structure, the higher the level of economic liberalization is likely to decrease the inducement of foreign direct investment due to negative factors such as an increase in labor costs. Overall, this study approved that Economic liberalization have a non-linear (inverted U-shape) relationship with the inflow of foreign direct investment. Research implications or Originality - First, this study attempted to expand the variables for the determinants of FDI by analyzing economic factors which is a determinent of FDI. Second, economic liberalization generally has a positive effect on foreign direct investment, but it proved that it does not have only positive effects as a factor of attracting foreign direct investment in developing countries. The advantage of low wages in ASEAN countries acts as a factor for foreign direct investment, but as the degree of economic liberalization increases, the environment such as government size, guarantee of property rights, international trade freedom, fiscal soundness, and regulations change positively. On the other hand, it can be suggested that if the industrial level is less, it may lead to a loss of comparative advantage and a decrease in investment.

• Korea Trade Review
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• v.42 no.1
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• pp.217-236
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• 2017

The purpose of this study is to analyze the effects of IFDI on the regional growth of 16 subregions in Korea during 2000~2014 by applying the System GMM. As a result of the analysis, the IFDI flowed into Korea has showed a positive effect on regional economic growth such as capital formation, job creation, and export expansion. but import has showed a negative effect. and Human capital has showed a positive effect but not statistically significant. meanwhile, IFDI which was flowed in the regions has showed a positive effect on the GRDP of DK regions including Daegu and Kyongbuk, while the GRDP of Metropolitan including Seoul, Incheon and Gyeonggi and BUK regions including Busan, Ulsan, Kyongnam has showed a negative effect. there were observed similar trends in the complementarities between IFDI inflows and human capital. This study has confirmed that IFDI flows into Korea are an important factor for regional growth, but the growth effect on GRDP in the region differs according to regional characteristics. Therefore, this study has suggested that it is urgent to reorganize the industrial structure along with the IFDI attraction strategy suitable for regional characteristics in order to expand the growth effect of IFDI flowed into the regions.

• Journal of the Economic Geographical Society of Korea
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• v.23 no.3
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• pp.209-228
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• 2020

The purpose of this study is to analyze the changes in trade and industry of Korea and suggest implications from the perspective of global value chains following the spread of COVID-19. To this end, products for prevention of epidemics which is directly related to COVID-19 and IT industries with high GVC participation were analyzed. Due to the spread of COVID-19, the variation in import and export of products for prevention of epidemics was large. In the case of masks, import and export of final goods changed drastically, but the change in intermediate goods was not significant relatively. Korea's IT industry has been differentiated according to major trading partners amid overall changes in GVCs which is summarized as higher forward participation and lower backward participation. While no particular change resulted from COVID-19 has yet been made directly, the need for diversification strategies should be taken into account at a time when the production links with China and Vietnam are close and the dependence on trade with these countries is high. The COVID-19 is still in progress, requiring corporate strategies and policy efforts to respond to changes in GVCs in the post-COVID-19 era.