Technology spillover and absorptive capacity of firms and countries

Arbeitspapier

The paper examines the foreign direct investment (FDI) spillover effects in developing countries and investigates the importance of the absorptive capacity of a firm and a country in realizing and facilitating FDI spillover. It uses data obtained from the World Bank's Enterprise Surveys for 107 countries from 2007 to 2020. The study finds that firms in developing countries do not benefit from horizontal FDI but benefit from forward and backward vertical FDI. The study also finds that firms can benefit from horizontal, forward, and backward FDI by improving the absorptive capacity of firms and host countries. Based on these findings, several recommendations are presented to help firms benefit from FDI spillover.

Object Details

• Language: Englisch

References and Relationships

• Bibliographic citation: Series: ADBI Working Paper ; No. 1323

Classification and Topics

• Classification: Wirtschaft ; Firm Behavior: Empirical Analysis ; International Investment; Long-term Capital Movements
• Subject: foreign direct investment ; technology transfer ; absorptive capacity

Contributors, Places and Time

• Event: Geistige Schöpfung
• (who): Urata, Shujiro ; Baek, Youngmin
• Event: Veröffentlichung
• (who): Asian Development Bank Institute (ADBI)
• (where): Tokyo
• (when): 2022

Further information

• Handle: http://hdl.handle.net/10419/267756
• Last update: 10.03.2025, 11:42 AM CET