2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Constantinos Alexiou ◽  
Sofoklis Vogiazas

PurposeWe investigate the impact of the strength of intellectual property (IP) institutions on Chinese outward foreign direct investment (OFDI).Design/methodology/approachWe use two different measures of IP on a sample of 21 European countries in the period 2003–2015. Panel quantile methodology is applied to assess the relationship at several points of the conditional distribution of OFDI.FindingsWe provide novel and robust evidence revealing a highly negative relationship between OFDI and the strength of IP institutions in Europe. This relationship which is more pronounced in the median and upper-quantiles, bolsters the conventional theoretical expectation that high institutional distance between home and host countries is inversely related to OFDI. Equally important is the preliminary evidence of the non-linear impact of IP at the median and upper-quantiles as well as the impact of other controlling variables such as GDP, population, trade openness and unit labour costs on Chinese OFDI.Originality/valueThe ensuing theoretical implications are of great significance for future studies on the institutional distance and drivers of OFDI by emerging economies as well as for European policymakers in so far as the strengthening of IP institutions constitutes a gravitational point for inward investment flows from China.


2019 ◽  
Vol 34 (6) ◽  
pp. 572-588
Author(s):  
Andrew G Ross ◽  
Maktoba Omar ◽  
Anqi Xu ◽  
Samikshya Pandey

The purpose of this paper is to analyse the impacts of the host country institutional environment on Chinese foreign direct investment in Africa. As one of the few papers to explicitly address the role of institutions on China–Africa foreign direct investment, our results highlight that countries who are able to provide a politically stable environment and control levels of corruption exert the greatest effects on Chinese foreign direct investment. After controlling for firm level motivation, the findings also reveal that as Chinese economic development evolves so does the apparent strategic direction of their investment patterns with greater attention now being given to investment quality and return on investment, rather than simply acquiring and extracting natural resources. From a policy perspective, the findings suggest three areas of development to promote increases in, and the sustainability of Chinese investment in Africa. First, the implementation of mechanisms to better control levels of corruption. Second, the promotion of long-term political stability to reduce investor uncertainty, and third, increased investment in supply-side initiatives to boost host country productivity to reflect the changing nature of Chinese investment patterns in Africa.


2017 ◽  
Vol 7 (1) ◽  
pp. 85-97
Author(s):  
Liqun Zhang ◽  
Martin Grešš ◽  
Katarina Brocková

Abstract This article presents an overview of current and potential investment from China into the Slovak Republic within the broader CEEC region cooperation based on the 16+1 platform. Based on a business study on the automotive industry in the CEEC region, and particularly Slovakia as one of the industrial sectors for possible Chinese investment with immense potential, the article aims to identify the main advantages and disadvantages of the region as a foreign direct investment destination. The article also analyses the impact of FDI inflows on the Slovak economy. We come to the conclusion that the recent FDI inflow from China to Slovakia has been statistically insignificant, which may, however, change in case the envisaged Chinese investment into the steel industry in Slovakia will be realised. With respect thereto, the article also points at the need to set out a new revised framework for the international legal protection of Chinese investment in the EU. It has been established that further research is required to assess the impact of Chinese FDI on the Slovak economy.


2016 ◽  
Vol 21 (1) ◽  
pp. 9-20
Author(s):  
Ersalina Tang

The purpose of this study is to analyze the impact of Foreign Direct Investment, Gross Domestic Product, Energy Consumption, Electric Consumption, and Meat Consumption on CO2 emissions of 41 countries in the world using panel data from 1999 to 2013. After analyzing 41 countries in the world data, furthermore 17 countries in Asia was analyzed with the same period. This study utilized quantitative approach with Ordinary Least Square (OLS) regression method. The results of 41 countries in the world data indicates that Foreign Direct Investment, Gross Domestic Product, Energy Consumption, and Meat Consumption significantlyaffect Environmental Qualities which measured by CO2 emissions. Whilst the results of 17 countries in Asia data implies that Foreign Direct Investment, Energy Consumption, and Electric Consumption significantlyaffect Environmental Qualities. However, Gross Domestic Product and Meat Consumption does not affect Environmental Qualities.


2020 ◽  
Vol 2020 (66) ◽  
pp. 65-85
Author(s):  
هيثم عبد النبي موسى ◽  
أ .د حيدر نعمة غالي الفريجي

This study dealt with the effect of foreign direct investment on the market value of the company during the period of time (2010-2017). This issue was studied through a sample of oil fields in southern Iraq in which the company operates within the first and second licensing contracts rounds and according to the circumstances and variables of the investment environment as it is. Although this investment often achieves high returns, it is also characterized by a high degree of risk and for the purpose of evaluating the impact of foreign direct investment on the market value of the company's stock prices for the period (2010-2017). The statistical scale (T-TEST) was used to indicate the significance of the correlation hypotheses. Between the return on investment as the independent variable and the market value as the dependent variable, and the use of the coefficient of determination (R2) that measures the effect of the independent variable (foreign direct investment) on the dependent variable (market value) and the F-Test to demonstrate acceptance or rejection of the hypothesis of the return on investing in the market value of the oil company, and if the company achieves a high return in foreign direct investment, the market value of it will be affected positively. The study was based on a set of goals, including determining the attractiveness of Iraq to foreign investments, especially the oil sector, and the study reached a number of conclusions, the most prominent of which is the existence of a strong inverse correlation between the return on investment and the market value of the company. And the existence of a slight impact of the return on investment on the market value of the company, and the study reached a number of recommendations, the most important of which is activating the investment climate through political stability and the clarity and stability of laws and legislation regulating investment, which is one of the most important factors affecting the investment decision.


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