Chinese MNEs and Latin America: a review

Gaston Fornes and Alan Butt‐Philip

International Journal of Emerging Markets, 2011, vol. 6, issue 2, 98-117

Abstract: Purpose - This paper aims to review and analyse the literature on the internationalisation of companies from China to Latin America (LA). Design/methodology/approach - The approach taken is that of a general review. Findings - The analysis shows that: the vast majority of academic literature relates to the characteristics of Chinese MNCs and their expansion into developed countries; the available evidence tends to suggest that China's MNCs already possess some competitive capabilities that, although not yet completely developed and consolidated to compete against companies in developed countries, seem to have achieved a certain level that allows them to successfully compete in Latin American markets; the Chinese Government has directly participated by committing most of the investments itself and also by signing treaties and trade and investment agreements with more than 20 developing countries; and the current trade and investment figures hint that, in the medium term, Chinese MNCs may be involved in market‐seeking FDI in LA. Originality/value - These findings seem to question the fit of existing theories with the reality of China's firms and the need for further studies in this area.

Keywords: Multinational companies; China; Latin America; Globalization (search for similar items in EconPapers)
Date: 2011
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Persistent link: https://EconPapers.repec.org/RePEc:eme:ijoemp:17468801111119470

DOI: 10.1108/17468801111119470

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