Foreign Direct Investment and spillover effect: a local firm perspective Online publication date: Sat, 02-Oct-2010
by Nilufer Yapici
International Journal of Business and Emerging Markets (IJBEM), Vol. 2, No. 4, 2010
Abstract: Looking at the Foreign Direct Investment (FDI) literature on spillover, one might lose sight of the local firms in the developing countries. I argue that knowledge spillovers lead to superior local firm performance, if the local firms use networks available to them to gain access to external knowledge and enhance their absorptive capacity through exploitation of the external knowledge. Advanced absorptive capacity allows the local firms to recognise knowledge spillovers before the competitors do and exploit it, giving rise to superior products relative competition in the industry.
Existing subscribers:
Go to Inderscience Online Journals to access the Full Text of this article.
If you are not a subscriber and you just want to read the full contents of this article, buy online access here.Complimentary Subscribers, Editors or Members of the Editorial Board of the International Journal of Business and Emerging Markets (IJBEM):
Login with your Inderscience username and password:
Want to subscribe?
A subscription gives you complete access to all articles in the current issue, as well as to all articles in the previous three years (where applicable). See our Orders page to subscribe.
If you still need assistance, please email subs@inderscience.com