Multinationals’ Strategies and the Economic Development of Small Economies: A Tale of Two Transitions

Robert Pearce
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Robert Pearce: University of Reading

Management International Review, 2009, vol. 49, issue 1, No 7, 94 pages

Abstract: Abstract and Key Results The processes of globalisation open up new potentials for MNE participation in the development of small economies. Thus the pursuit of global competitiveness by MNEs, operating through a range of strategic motivations, can be supported by different types of affiliates that can be based on the potentials of small economies. Efficiency seeking operations of MNEs can benefit from cost-effective inputs of small economies (as, for example, in export processing zones) and activate their export potentials. Knowledge seeking by MNEs can be generated interdependently with the creation of localised systems of innovation that support bases of sustainable development in small economies.

Keywords: Subsidiary Development; Export Processing Zones; Creative Transition; Dynamic Clusters (search for similar items in EconPapers)
Date: 2009
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DOI: 10.1007/s11575-008-0126-5

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