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The role of outward FDI in creating Korean global factories

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Buckley, Peter J., Driffield, Nigel L. and Kim, Jae Yeon (2022) The role of outward FDI in creating Korean global factories. Management International Review, 62 . pp. 27-52. doi:10.1007/s11575-022-00462-5 ISSN 0938-8249.

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Official URL: https://doi.org/10.1007/s11575-022-00462-5

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Abstract

This study examines Korean foreign direct investment (FDI) in the context of the organization and development of local firms into global factories. Specifically, we explore the relationship between FDI decisions and the nature of Korea’s imported and exported goods. We argue that the global factory approach explains the mechanisms by which FDI can lead to technological upgrading. We employ a unique dataset that incorporates information on FDI motive from South Korea, as well as the unit value of traded goods within sectors. Our findings indicate that FDI location and motive vary by trade destinations and trade unit prices; something that has not received attention in existing literature.

Item Type: Journal Article
Subjects: H Social Sciences > HD Industries. Land use. Labor
H Social Sciences > HF Commerce
H Social Sciences > HG Finance
Divisions: Faculty of Social Sciences > Warwick Business School
Library of Congress Subject Headings (LCSH): Investments, Foreign -- Korea (South), International business enterprises -- Korea (South), Globalization -- Korea (South)
Journal or Publication Title: Management International Review
Publisher: Betriebswirtschaftlicher Verlag Dr. Th. Gabler GmbH
ISSN: 0938-8249
Official Date: February 2022
Dates:
DateEvent
February 2022Published
6 April 2022Available
12 January 2022Accepted
Volume: 62
Page Range: pp. 27-52
DOI: 10.1007/s11575-022-00462-5
Status: Peer Reviewed
Publication Status: Published
Access rights to Published version: Open Access (Creative Commons)
Date of first compliant deposit: 13 January 2022
Date of first compliant Open Access: 12 April 2022
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