Chinese Investment in the European Football Industry

2020 ◽  
pp. 1392-1413
Author(s):  
Sue Claire Berning ◽  
Daniel Maderer
Keyword(s):  
Foreign Direct Investment ◽  
Direct Investment ◽  
Foreign Direct Investments ◽  
Outward Foreign Direct Investment ◽  
Chinese Firms ◽  
Chinese Investment ◽  
Football Clubs ◽  
European Football ◽  
Cross Case Analysis ◽  
Football Industry

Outward foreign direct investment of Chinese firms in developed markets is a relatively new phenomenon. Since December, 2014 when the Chinese government announced a major investment program in sports, Chinese firms have particularly focused on foreign direct investments in the European football industry. We analyze the investment patterns, the determinants, and the motives of six investment cases of Chinese Outward Foreign Direct Investment (OFDI) undertaken in European football clubs. Based on Dunning's OLI paradigm and the determinants-framework from Holtbrügge and Kreppel, a within-case and cross-case analysis was conducted. We reveal that the main motives of Chinese investments differ between asset-seeking and market-seeking to a combination of both. The most important determinants of OFDI were the size of the host market and the level of know-how in it, while firm-specific resources and the strategic importance of the industry for the home government was a joint determinant for all Chinese companies.

Chinese Investment in the European Football Industry

2017 ◽  
pp. 223-244 ◽  
Author(s):  
Sue Claire Berning ◽  
Daniel Maderer
Keyword(s):  
Foreign Direct Investment ◽  
Direct Investment ◽  
Foreign Direct Investments ◽  
Outward Foreign Direct Investment ◽  
Chinese Firms ◽  
Chinese Investment ◽  
Football Clubs ◽  
European Football ◽  
Cross Case Analysis ◽  
Football Industry

Outward foreign direct investment of Chinese firms in developed markets is a relatively new phenomenon. Since December, 2014 when the Chinese government announced a major investment program in sports, Chinese firms have particularly focused on foreign direct investments in the European football industry. We analyze the investment patterns, the determinants, and the motives of six investment cases of Chinese Outward Foreign Direct Investment (OFDI) undertaken in European football clubs. Based on Dunning's OLI paradigm and the determinants-framework from Holtbrügge and Kreppel, a within-case and cross-case analysis was conducted. We reveal that the main motives of Chinese investments differ between asset-seeking and market-seeking to a combination of both. The most important determinants of OFDI were the size of the host market and the level of know-how in it, while firm-specific resources and the strategic importance of the industry for the home government was a joint determinant for all Chinese companies.

Economic Policy Uncertainty, Bilateral Investment Treaties, and Chinese Outward Foreign Direct Investment

2021 ◽  
Vol 94 (3) ◽  
pp. 519-557
Author(s):  
Yue Lu ◽  
Linghui Wu ◽  
Ka Zeng
Keyword(s):  
Economic Policy ◽  
Foreign Direct Investment ◽  
Host Country ◽  
Direct Investment ◽  
Policy Uncertainty ◽  
Outward Foreign Direct Investment ◽  
Bilateral Investment Treaties ◽  
Economic Policy Uncertainty ◽  
Chinese Investment ◽  
Investment Treaties

This paper examines the effect of bilateral investment treaties (BITs) in promoting Chinese outward foreign direct investment (COFDI) in the presence of rising economic policy uncertainty in China's partner countries. We postulate that the signing of BITs should help stimulate COFDI because the treaties send a credible signal to foreign investors about the host country's intent to protect Chinese investment, and make it more difficult for the host country to violate its treaty obligations. BITs that contain rigorous investment protection and liberalization provisions, in particular, should be more likely to encourage COFDI as they directly influence Chinese investors' expectations about the stability, predictability, and security of the host market. However, while BITs generally promote COFDI, host country economic policy uncertainty may also limit their effectiveness. This is because uncertainty tends to undermine investor confidence, trigger capital flows from high- to low-risk countries, and dampen commercial activities. Poisson pseudo-maximum likelihood (PPML) estimation models of the determinants of COFDI to 188 countries between 2003 and 2017 lend substantial support to our conjectures.

The Politics of Chinese Foreign Direct Investment in the USA

2019 ◽  
Vol 55 (2) ◽  
pp. 254-272 ◽  
Author(s):  
Kelan (Lilly) Lu ◽  
Glen Biglaiser
Keyword(s):  
Foreign Direct Investment ◽  
Direct Investment ◽  
Chinese Firms ◽  
Chinese Investment ◽  
Greenfield Investments ◽  
The Us ◽  
The Usa ◽  
Chinese Foreign Direct Investment ◽  
Subnational Analysis

Although recently Chinese investment in the USA has grown exponentially, it has not flowed equally among the US states. Controlling for popular explanations in the foreign direct investment literature, we carry out subnational analysis to assess the determinants of Chinese investment in the USA. Using a panel dataset for all states from 2006 to 2016, we find that Chinese firms are more attracted to states where Republican governors hold office. Republican-governed states particularly attract greenfield investments from Chinese firms. However, we also find that US national security concerns and Chinese goals appear to affect investment flows in high-technology states, limiting the role of partisanship. Our results indicate that it is too soon to dismiss the importance of politics on foreign direct investment.

scholarly journals Just Look behind the Data! Czech and Hungarian Outward Foreign Direct Investment and Multinationals

2019 ◽  
Vol 69 (S2) ◽  
pp. 73-105 ◽  
Author(s):  
Magdolna Sass ◽  
Jana Vlčková
Keyword(s):  
Foreign Direct Investment ◽  
Direct Investment ◽  
Transition Process ◽  
Balance Of Payments ◽  
Foreign Direct Investments ◽  
Outward Foreign Direct Investment ◽  
Outward Fdi ◽  
Foreign Investors ◽  
The Czech Republic ◽  
Main Factors

There has been an increase in outward foreign direct investment (FDI) and in the number of locally-owned or controlled multinationals in the Czech Republic and Hungary. However, data problems hinder to determine accurately the underlying trends and the main factors behind the changes. Data on outward FDI contain investment realised by all locally operational firms, regardless of their ownership. We rely on newly available balance of payments manual 6 (BPM) data and on company case studies. We show that outward investment by Czech firms must be much higher than what balance of payments data show. Hungary's case is the opposite. The leading Czech and Hungarian foreign investor firms can be categorised as “virtual indirect” foreign investors: they are in majority foreign ownership, but under domestic control. The reason for this special type of firms dominating in outward foreign direct investments can be found in the privatisation technique applied in these countries during the transition process.

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