In this paper, we treat the multinational firm as an internal market in which various business units compete for scarce resources. By using the resource dependence theory to examine the parent–subsidiary relationship, we view this relationship as more of a political coalition than a hierarchy....

Taiwan, once one of the world’s leading manufacturing economies, is now transforming into a service economy, with an emphasis on knowledge-based services. This metamorphosis has not been easy. As well as major changes in the industrial sector, human resource and policy development have been...

This paper examines two alternative policies for a small, tariff-distorted country hosting foreign investment. One policy is to allow foreign firms to operate behind the tariff wall; the other is to confine them in a free-trade area. Using a specific factor model, the author shows that confining...

This paper illustrates foreign direct investment (FDI) as the management of important network relations, using Taiwan's electronics firms as an example. Through FDI, seemingly small and weak firms propel the process of internationalization by making maximum use of external resources to which...

Whether foreign direct investment will lead to deindustrialisation at home depends on the investing country's capability to restructure itself on the intra-firm, intra-industry, and intersectoral levels. This paper divides FDI into defensive and expansionary types and argues that defensive FDI...

In this paper, we examine the pattern of resource alignment in strategic alliances and its relevance to the scheme of cooperation. This resource-based perspective is combined with the transaction cost model to interpret the governance structure of international strategic alliances undertaken by...