Three Empirical Models for the Choice of Entry Mode in Foreign Direct Investment
Applied Economic Letters, Vol. 5(4), pp. 201-04, 1998
8 Pages Posted: 29 Sep 2020
Date Written: November 27, 1996
Three empirical models for the choice of entry mode in foreign direct investment are compared. In contrast to the models used in earlier studies where the entry decision is taken to be predetermined, the alternative to refrain from investment altogether is here taken into account. Furthermore, the fact that greenfields increase capacity is also considered.
Keywords: entry mode, foreign direct investment, greenfield, takeover
JEL Classification: F23
Suggested Citation: Suggested Citation