Journal
JOURNAL OF INTERNATIONAL BUSINESS STUDIES
Volume 40, Issue 7, Pages 1075-1094Publisher
PALGRAVE MACMILLAN LTD
DOI: 10.1057/jibs.2008.111
Keywords
meta-analysis; MNEs and economic development; MNEs and economic growth; foreign direct investment; spillovers; institutions and international business
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Local firms may attract productivity spillovers from foreign investors, yet these vary with local firms' awareness, capability and motivation to react to foreign entry. In consequence, spillovers vary across countries at different levels of economic development. We apply competitive dynamics theory to analyze these contextual moderators of spillovers, and test hypotheses thus derived in a meta-analysis of the empirical literature on spillovers. Our analysis suggests a curvilinear relationship between spillovers and the host country's level of development in terms of income, institutional framework and human capital. Journal of International Business Studies (2009) 40, 1075-1094. doi:10.1057/jibs.2008.111
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