• East Asian Economic Review
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• v.26 no.2
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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.

• Korea Trade Review
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• v.46 no.2
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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.

• International Area Studies Review
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• v.13 no.3
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• pp.439-458
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• 2009

In this paper, Two countries have invested directly using the two models Multinational Enterprises, foreign companies doing R&D subsidy policy analysis in their activities to attract. Multinational Enterprises to get the spillover effect from competitors, the introduction of subsidiary R&D resources with an incentive to R&D activities. The government has established a subsidiary to bring the country to foreign Multinational Enterprises for the purpose of improving the technological capabilities of Multinational Enterprises with their parent company R&D to increase the resources by foreign companies in their R&D investment to subsidize R&D activities that have an incentive to attract. In addition, foreign companies and government cooperative R&D by two things also increase the rate of funding for activities to bring the two subsidiaries of multinational R&D has increased the amount of additional resources, the economic interests of both countries get more will increase.

• Fourth Industrial Review
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• v.2 no.2
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• pp.39-46
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• 2022

Purpose - This study analyzes the investment environment of South Korea by using the rating scale of Robert B Stobaugh, Jr, and draws conclusion implication. Research design, data, and methodology - The study conducted a survey on according to the political stability, capital repatriation, foreign ownership allowed, discrimination and controls, foreign vs domestic businesses, currency stability, willingness to grant tariff protection, availability of local capital, and annual inflation for last 5 years. The score of these eight aspects will be given based on the current situation in South Korea and the sum of the scores will be calculated. Result - China-Korea economic and trade relations are in a stage of transformation and upgrading, and the level of economic and trade cooperation in various fields is reaching a new level. It is hoped that Chinese enterprises will grasp business opportunities, strengthen research and analysis of the Korea market and achieve mutually beneficial cooperation. Conclusion - The investment environment of South Korea is superior according to the political stability, capital repatriation, foreign ownership allowed, discrimination and controls, foreign vs domestic businesses, currency stability, willingness to grant tariff protection, availability of local capital, and annual inflation for last 5 years.

• Asian Journal of Business Environment
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• v.14 no.1
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• pp.1-13
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• 2024

Purpose: This study explores the level of relevance of liability of foreignness (LOF) in foreign firms' decision to relocate or to expand their regional headquarters (RHQ) in Singapore. Research design, data and methodology: The research question is: what are the mitigating factors of LOF for RHQs operating in Singapore? This explorative study uses various resources from the government agencies: Singapore Economic Development Board such as annual reports between 2012 and 2022, investment programs and published interviews with RHQ's CEOs, Singapore Department of Statistics such as economic, socio-economic and investment data. Results: My study shows that years of nation-building toward a world-class infrastructure, identifying key-industries and conscientiously enhancing workforce skills and competency, developing and reviewing investment programs to attract and retain RHQs were the mitigating factors of LOF. Conclusion: This implies a low level of relevance of LOF in foreign firms' strategic choice to relocate or to expand their regional headquarters to Singapore. As such, the steady growth of multinational enterprises' (MNEs) RHQs in Singapore presents a challenge to the theoretical postulation of LOF positing that foreign firms are discriminated in host country-environment. As a result, incurring additional costs operating in an unfamiliar environment manifested by varying responses from the local actors. Singapore is a case in point.

• The Korean Society of Law and Medicine
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• v.7 no.2
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• pp.311-330
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• 2006

As issues of education, employment and so on, the medical issue is one of the hot spots of society in China today. The health system reform which was pushed ahead after China's Revolution and open to the outside world hasn't received great progress. Many actual problems haven't been solved, for example it is difficult and expensive to see a doctor. With the development of the economy and society, the citizen's legal consciousness has gradually risen. They make a claim for better medical service. At the same time, the number of the disputes of medical care arises annually. China has sped up the opening of service trade for fulfilling promises of entry the WTO since 2001. China has already opened many service trade fields, including medical field. From the domestic perspective, there are many problems in domestic medical department. From the international perspective, China's present medical level falls behind the world advanced medical level. Under this background, it is a bold act for China to open the medical service field to foreign investors. Today, a huge medical service market is developed in China. However, the government's investment to medical devices and the financing channels is limited. Therefore, it is inevitable that individuals, social organizations and foreign investors invest to the medical market. In view of the situation, Chinese government issued a series of relevant laws and rules. In recent years, many multinational companies, consortiums, charitable institutions, enterprises and individuals establish various medical institutions in China. But there are rare research in the actuality and legal subject of foreign investment to Chinese medical market. Hence, it is necessary to realize the actuality of foreign investment to Chinese medical market, to familiar with the elements and procedure of establishing foreign joint and cooperative medical institution. Meanwhile, analyzing the existing problems and posing the legal subject have important theoretic and practical value.

• Korea Trade Review
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• v.46 no.3
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• pp.119-133
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• 2021

After 'Zhou Chuchu (走出去, Go global)' in the early 2000s, and with the 'One-to-One Road' initiative in 2012, China's Overseas Foreign Direct Investment (OFDI) has increased significantly, resulting in high academic interest. The purpose of this study is to analyze the impact of national risks of home country on China's OFDI by using data from 49 countries along the 'One-to-One Road' between 2007 and 2018, and to compare the factors of national risks that attract investment from the world. As a result of the study, market economy companies' perceptions of national risks are mostly negative, so risk acts as a deterrent to investment. On the other hand, national risks of home countries have had positive effects on China's OFDI, which would mean that Chinese investors, mostly state-owned enterprises have a high tendency to invest in regions or countries with high national risks. Other economic factors, such as the size of the investment partner country's market, GNI per capita, and trade openness, had a positive (+) effect, and natural resources had a negative (-) effect on China's OFDI. As dummy variables, FTA, which is an economic and diplomatic factor, SCO, which is a political and diplomatic factor, and bordering which is a geographical factor, were also found to have a positive (+) effect. This study implies the investment pattern of China's OFDI is due to the characteristics of China's unique geopolitical and economic system, and it is judged to be influenced by political and strategic factors, especially the aspects led by state-owned enterprises.

• The Journal of Asian Finance, Economics and Business
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• v.8 no.4
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• pp.763-767
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• 2021

Accounting information is essential for users. Useful information helps users to make appropriate investment-related decisions. Segment reporting disclosure plays a practical role for an investor in a business. The article data was surveyed by ordinary least squares to test the effects of corporate governance on the segment reporting disclosure. The article employed time-series data with 136 observations of the top 100 non-financial Vietnamese enterprises listed on the stock exchange in the period of 2018-2019. The research used two popular theories related to stakeholder and agency to explain the effects of factors on segment reporting disclosure. The results have identified two factors that have a positive impact on segment reporting disclosure, namely, the size of the board and the ratio of foreign members to the total number of the board. Accordingly, the managers of the top 100 Vietnamese listed enterprises should increase the number of board members as well as pay attention to the number of foreign members to contribute to improving the information disclosure on the segment reporting. It is the basis to improve the quality of information to ensure completeness and transparency. It contributes to attracting foreign investment to meet the trend of international economic integration.

• Korean Business Review
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• v.12
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• pp.209-237
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• 1999

With the increasing speed of internationalization of corporations under WTO system foreign direct investment is considered as the important means of international cooperation as well as avoiding trade barrier. From this point of view the study on foreign direct investment of Korean corporations is of great importance. Many studies till now, however, are concerned with the macroscopic analysis of foreign direct investment of Korean corporations, not with the establishment of strategy appropriate to the environment of host country and the investment performance. In order to meet the problems mentioned above this thesis aims at accomplishing the following three tasks. (1) synthetic assessment of existing theories of foreign direct investment. (2) systematic adjustment of factors of environment in the foreign direct investment activities. (3) analysis of above factors in the foreign direct investment of Korean textile industry and proper proposal of strategic model for the individual corporation. The results of analysis according to the aim of the study are as follows: (1) To lead foreign direct investment successfully, variable and effective information-presentation should be offered with priority. (2) The investment strategy through regional diversification is required. (3) The localization of decision making has to be attempted assertively. (4) The global network system is needed for more recommendable foreign direct investment. (5) More aggressive and outgoing attitude like developing into the local market and obtaining the high-technology is desperately needed.

• Journal of Arbitration Studies
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• v.28 no.1
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• pp.27-42
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• 2018

Due to the increasing number of foreign investments made by state-owned enterprises, there has been a growth in the number of investment arbitration claims submitted by them. However, international investment treaties including the ICSID Convention are intended to apply to investor-state disputes and according to Article 25 of the ICSID Convention, the claimant has to be "a national of another Contracting State." This raises the question of whether state-owned companies can be considered as "nationals of another Contracting State" or private investors. This issue has been discussed in the ICSID Decision on Jurisdiction in BUCG v. Yemen which has been released in 2017. Since there would be more claims related to the standing of state-owned enterprises as claimants, it is required to understand whether state-owned enterprises could be permitted access to the ICSID under the ICSID Convention Article 25. Moreover, the ICSID cases addressing the jurisdictional issues including BUCG v. Yemen has to be closely analyzed. In particular, as the Broches test was applied in order to decide the standing of state-owned companies, it is necessary to examine how the Broches criteria has been interpreted and adopted in the ICSID cases.