Race for Foreign Direct Investment: Turkey vs. Poland

Yi Jiang and Wei Shen

Academic Journal of Interdisciplinary Studies, 2013, vol. 2

Abstract: Comparing foreign direct investment (FDI) in Turkey and Poland, this paper explores location choices and organizational forms of FDI in emerging economies. We adopt transaction cost economics and institution-based view to investigate the relationships between location, entry mode, and ownership structure. We validate the significance of EU accession as a determinant of FDI and show that a politically stable environment attracts FDI, but the sheer size of a market does not attract FDI. Our findings suggest that different organizational forms of FDI are favored in different institutional environments.

Date: 2013
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Persistent link: https://EconPapers.repec.org/RePEc:bjz:ajisjr:567

DOI: 10.5901/ajis.2013.v2n11p129

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