Arbeitspapier

Multinational companies and indigenous development: An empirical analysis

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This Paper presents an empirical study of the effect of foreign multinational companies on the development of indigenous firms in the host country. Our starting point is a recent paper by Markusen and Venables (1999) that shows formally that multinationals, through the creation of linkages with indigenous suppliers, can exert positive effects on the development of indigenous firms. Based on the literature on entry in industrial organisation, we estimate empirically a model describing the entry of indigenous firms using data for the Irish manufacturing sector. Our results indicate that there is a positive effect of multinational companies on the entry of indigenous firms for a variety of alternative specifications.

Language: Englisch

Bibliographic citation: Series: CEPR Discussion Paper Series ; No. 3325

Classification: Wirtschaft
Multinational Firms; International Business
Industry Studies: Manufacturing: General

Subject: Multinationales Unternehmen
Agglomerationseffekt
Unternehmensgründung
Verarbeitendes Gewerbe
Irland

Event: Geistige Schöpfung

(who): Görg, Holger
Strobl, Eric

Event: Veröffentlichung

(who): Centre for Economic Policy Research (CEPR)

(where): London

(when): 2002

Handle: http://hdl.handle.net/10419/2747

Last update: 10.03.2025, 11:42 AM CET

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Object type

Arbeitspapier

Associated

Görg, Holger
Strobl, Eric
Centre for Economic Policy Research (CEPR)

Time of origin

2002

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