The internationalization Strategies of French Companies in Romania

Laura Brancu and Nicolae Bibu ()

MPRA Paper from University Library of Munich, Germany

Abstract: Central and Eastern European countries (CEECs) are currently attracting important flows of direct investments, after being closed to inflows of foreign capital before 1990. The governments of these countries have been multiplying measures and incentives for encouraging the presence of Multinational Companies (MNCs), during the past years. They are doing it because they consider this fact to represent an important growth vector. This current article will be focusing on Romanian situation. Statistical data indicate that Romania has attracted less foreign investments per inhabitant compared to the other countries in the region. Therefore, the article is aiming to analyze some of the strategies that are followed by companies intending to invest in foreign countries. We will analyze the strategic variables that have determined 62 French companies to invest and implant in Romania, based on the results of a specific survey we have conducted. The main conclusion is that the large majority of them were pursuing a “market seeking” strategy, and only a minority was pursuing a “search for resources” strategy.

Keywords: entry strategy; multinational company; Central and Eastern European countries; Romania (search for similar items in EconPapers)
JEL-codes: F21 F23 M19 (search for similar items in EconPapers)
Date: 2008-05-22
New Economics Papers: this item is included in nep-tra
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Persistent link: https://EconPapers.repec.org/RePEc:pra:mprapa:9500

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