• 무역학회지
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• 제46권2호
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• pp.177-191
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• 2021

Based on the existing OFDI (outward foreign direct investment) literature, this study endeavored to verify how the corruption of host countries affects the partner strategy of EMNEs (emerging multinational enterprises) when EMNEs enter global markets through joint ventures. Following the existing literature, this study classified corruption and partner strategies into two categories, respectively. First, the corruption of host country was divided into grand corruption and petty corruption. Second, EMNEs' joint venture partner strategy was divided into home country partner joint venture and host country (i.e., local) partner joint venture. Our hypothesis suggested that the greater the host country's grand corruption, the more EMNEs would choose the host country partner, while the strong petty corruption leads to the preference of home country partner in host country. The hypotheses were verified with a sample of 890 foreign direct investment cases of Chinese multinational companies from 2005 to 2015. As a result of the study, regardless of the degree of corruption, it was found that they prefer joint ventures with home country partners when EMNEs enter the global market through joint ventures.

• 동아시아경상학회지
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• 제6권2호
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• pp.49-57
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• 2018

Purpose - to examine the theories related to the internationalization of multinational corporations as well as theories related to internationalization of small and medium-sized enterprises. Research design, data, and methodology - traditional theories, e.g. eclectic paradigm and behavioral theory and product life cycle etc. were examined and recent advances theories - network theory, entrepreneurship - were also examined to outline the theory of internationalization of firm. Results - the main schools of international researches are divided into two; one is the economics school, the other is the behavioral school. The economics school has considered internationalization as a pattern of investment in foreign markets explained by rational economic analysis of internalization, ownership, and location advantages. Apart from the economics approach, a theory relevant to smaller firms highlights slow and incremental overseas market commitment. Recent research on the network perspective is fast emerging and it can be applied and well explained on the internationalization of smaller firms, focusing on firm behavior in the context of a network of interorganizational and inter-personal relationships Conclusions - Small medium-sized enterprises have been recently rising, however, there has still been little consolidation of literature in internationalization and most of the relevant theories have been still focusing on explaining the globalization of multinational corporations. Little studied on the internationalization in the context of smaller firms which are distinctly differentiated from larger firms including international new ventures, which the motivation to study strongly calls for more information and studied on small medium-sized enterprises.

• STI Policy Review
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• 제3권2호
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• pp.79-91
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• 2012

With the globalisation of the world's economies and the increasing role of multinational corporations in the generation of knowledge, global research and development (R&D) activities in emerging countries are following a new trend. This paper describes case studies of two large companies and discussion of the motives (demand vs. supply) and tasks (demand-driven vs. supply-driven) of R&D activities outside their home country. This work is based on an analysis of four overseas R&D units of two Korean ICT companies - here, ICT refers to goods and services in the information technology and communication technology fields - in India and China. The research findings are as follows: (1) The overseas R&D activities of Korean ICT enterprises in emerging countries may be driven by a combination of demand and supply factors of host countries; and (2) Korean overseas R&D centres in emerging countries may need to carry out both demand- and supply-driven tasks in view of the overlap between demand and supply factors of the host countries. Based on the results of this research, the following policy implications can be drawn for encouraging more effective overseas R&D activities of Korean enterprises in emerging countries. First, the government needs to expand the support systems so that enterprises can manage local R&D centres more effectively and actively use the variety of local support systems and useful information. Second, the government needs to expand the support systems so that the overseas R&D centres of Korean enterprises revitalise collaborations with locally excellent universities and research institutions.

• East Asian Economic Review
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• 제26권2호
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• pp.119-142
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• 2022

This paper uses social network theory and the internationalization process model (IPM) to determine how external network linkages influence the location choices of multinational enterprise from emerging economies (EMNEs); specifically, whether past alliance experience influences location choices and its impact on the subsequent entry of MNEs from emerging economies. This paper applies survival analysis using initial and secondary investments from 2,000 Chinese A-share listed companies that entered 90 countries between 1997 and 2018 to analyze both the initial and subsequent entries of Chinese outward foreign direct investments (OFDIs) in major host countries. The findings indicate that an MNE's previous experience with a company from a particular country will increase the likelihood of an initial investment in that country. Previous alliance experience may accelerate the foreign investment process of EMNE and stimulate firms making a commitment to a position in a foreign network, regardless of cultural distance and stage of internationalization. Alliance before initial investment may increase the likelihood and speed of entering a host country as wholly owned subsidiaries and that network linkages not only significantly influence the internationalization process of small and medium-sized enterprises, as indicated by the IPM, but also that of large listed firms.

• Safety and Health at Work
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• 제10권4호
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• pp.400-408
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• 2019

The "fourth industrial revolution" (FIR) is an age of advanced technology based on information and communication. FIR has a more powerful impact on the economy than in the past. However, the prospects for the labor environment are uncertain. The purpose of this study is to anticipate and prepare for occupational health and safety (OHS) issues. In FIR, nonstandard employment will be common. As a result, it is difficult to receive OHS services and compensation. Excessive trust in new technologies can lead to large-scale or new forms of accidents. Global business networks will cause destruction of workers' biorhythms, some cancers, overwork, and task complexity. The social disconnection because of an independent work will be a risk for worker's mental health. The union bonds will weaken, and it will be difficult to apply standardized OHS regulations to multinational enterprises. To cope with the new OHS issues, we need to establish new concepts of "decent work" and standardize regulations, which apply to enterprises in each country, develop public health as an OHS service, monitor emerging OHS events and networks among independent workers, and nurture experts who are responsible for new OHS issues.

• 유통과학연구
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• 제12권6호
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• pp.59-65
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• 2014

Purpose - The competitiveness of logistics in the 21st century rests on ensuring the efficiency and effectiveness of its local hub. While considering entry into a niche market in local logistics, it is pertinent to note that Budapest is emerging as a hub in EU enlargement in Eastern Europe. Big, small, and medium-sized businesses in Korea entered Hungary in the early 1990s since then, there has been a significant increase in Korean presence, of approximately 130 times. This study aimed to identify the key distribution issues that have emerged in relation to Eastern Europe. Research design, data, and methodology - This study indicates that 33 major Korean companies were located in Hungary, which serves as an out post to enter the European marketplace. However, Korea's exports to Hungary have declined (-32.0% in 2012) because of a loss of competitiveness against multinational corporations, due to factors such as the rise in current local distribution costs and wages. Hungary, on the other hand, through diversification and expansion of foreign trade with the non-EU markets, including Korea, is increasing its exports. Strategies of emerging countries are compared and reviewed in this study, by examining the vicissitudes of Hungary's distribution methods. Results - There are issues regarding Hungary's innovative ability. Hungary has a history of low wages and high skilled labor. However, the outflow of high-quality human resources for high-wages has become more extensive, and this underlines concerns that the CEE's trade hub is moving to neighboring countries. After the European financial crisis in 2010, the Hungarian economy is now developing, because of the IMF's measures, and it is being transformed into a trade surplus nation, while regaining distribution volumes rapidly. However, if there is continued lack of investment, the supply chain is weakened and exports decline amidst competition with TNCs or with China's distribution networks. Conclusions - It is necessary to create a new logistics approach for increasing trade between Korea and Hungary. First, Korean small and medium enterprises (SMEs) should build trust by working with advanced Hungarian talent, and they should expand into state-of-the-art fields instead of being confined to traditional sectors. Second, this study focuses on limiting and lowering their high expectations for success according to foreign direct investment (FDI) inflows and the role in the CEE distribution hub Korea should try to strengthen the distribution hub with its centralized population, using better, more highly educated human resources, thereby sustaining more innovative ability. Further, the positive effects of these measures are manifested in enhanced business on both sides of Hungary, namely, the EU and non-EU nations such as Turkey and emerging markets around Europe, and a better engagement in the core placement of culture and industry. For this, Korea can contribute to, and benefit from, a Hungarian logistics center, for adopting the high-tech cluster systems and commercializing distribution technology such as RFID·USN.