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In this paper, we investigate the firm-level mechanisms that underlie the sequential foreign direct investment (FDI) decisions of multinational corporations (MNCs). To understand inter-firm heterogeneity in the sequential FDI behaviors of MNCs, we develop a firm capability-based model of...
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A key strategic choice for multinational firms is where to locate. When investing abroad, firms may find collocating with their own and competitors' prior investments beneficial. Such agglomeration may provide knowledge and infrastructure spillovers. Yet, as a firm invests sequentially, its past...
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