MNC Strategies and Linkage Effects in Developing Countries

Michael Wendelboe Hansen; Torben Pedersen; Bent Petersen

MNC Strategies and Linkage Effects in Developing Countries

Michael Wendelboe Hansen, Torben Pedersen, Bent Petersen

Research output: Working paper › Research

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Abstract

The paper addresses the question of which implications MNC strategies have to FDI linkage effects in developing countries. Two contrasting MNC strategies reflecting an integration-responsiveness dichotomy are scrutinized as to their job effects on local linkage partners in developing countries. It is hypothesized that compared to investments undertaken by MNCs following strategies of global integration, investments of MNCs pursuing local responsiveness create more jobs but imply less job upgrading in developing countries. The hypotheses are tested on a sample of Danish MNCs with extensive investments in developing countries.

Original language	English
Number of pages	39
Publication status	Published - 2007

Keywords

Multinational corporations
Strategy
Linkages
Developing countries

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