International business and the eclectic paradigm: developing the OLI framework

The eclectic paradigm has become the dominant theoretical basis in the study of international business, multinational corporations and internationalization since 1980. However, developments such as economic globalization and the subsequent growth of global and alliance capitalism have fundamentally affected the way in which MNC activities are undertaken and organized. The contributions to this volume evaluate the eclectic paradigm in the global economy and its validity as a theoretical basis to understand these developments. Contributions by leading scholars -including John Dunning, Stephen Gusinger, John Cantwell, Terutomo Ozawa, Gabriel Benito, Lars Oxelheim, Timothy Devinney and Anoop Madhok - examine the legacy of the eclectic paradigm. This book systematically evaluates how the eclectic paradigm has survived the test of time, from a wide variety of perspectives. Contributors discuss whether and how the ownership-location-internalization (OLI) framework continues to be applicable to the perspective of their own particular analytical concerns. Has the explanatory usefulness of the paradigm diminished? To what extent is it a useful tool from the perspective of, for instance, trade theory, finance, evolutionary economics, resource-based theory or strategic management? Can it be utilized to explain new developments in international business and economics? Do these require new ideas and concepts to be integrated within the eclectic paradigm? What are the new challenges to which international business theorizing must respond?