Production Capital and Technology Transfers

Kimmo Kiljunen
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Kimmo Kiljunen: Helsinki University

Chapter 7 in Finland and the New International Division of Labour, 1992, pp 182-197 from Palgrave Macmillan

Abstract: Abstract Internationalisation of marketing and production via direct foreign investment (DFI) has been a conventional strategy in response to increasing competitive pressure in export markets. A typical sequence of this internationalisation process is for companies first to rely on traditional export transactions by utilising foreign-trade representatives and agents. The second phase entails setting up their own sales affiliates abroad. The third stage involves executing a variety of licensing agreements for supplying specific technologies, machinery, training of marketing activities, and fourth, to increase further foreign involvement, companies attempt to locate production activities abroad with direct equity participation.

Keywords: Direct Foreign Investment; Foreign Investment; Production Capital; International Division; Foreign Affiliate (search for similar items in EconPapers)
Date: 1992
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DOI: 10.1007/978-1-349-10012-5_7

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