Foreign-Versus Domestic-Owned firms in the Predicament ‘Cui bono?’

Mico Apostolov and Scagnelli Simone Domenico ()
Additional contact information
Scagnelli Simone Domenico: Edith Cowan University, Australia & Università degli Studi di Torino, Torino, Italia

Business Systems Research, 2019, vol. 10, issue 2, 18-36

Abstract: Background: This article examines the productivity of domestic firms in the case of the foreign ownership.Objectives: Foreign direct investments affect the competitive competences of domestic firms; thus, the objective is to see the way foreign ownership drives the growth of domestic firms.Methods/Approach: The study uses standard models to analyse productivity; they are applied to data sets of Macedonia, a Southeast European economy, and it is concluded that foreign ownership has a major role in domestic firms’ restructuring processes increasing their productivity.Results: Surely, the results support the principal notion that the augmented presence of foreign firms is to influence the restructuring and business activity of domestic companies positively.Conclusions: Our analysis verifies that foreign ownership has influenced the overall economy and particularly domestic-owned firms with the constant increase in employment and especially direct export.

Keywords: foreign firms; domestic firms; productivity (search for similar items in EconPapers)
JEL-codes: D20 F21 G32 O12 P30 (search for similar items in EconPapers)
Date: 2019
References: View references in EconPapers View complete reference list from CitEc
Citations:

Downloads: (external link)
https://doi.org/10.2478/bsrj-2019-015 (text/html)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:bit:bsrysr:v:10:y:2019:i:2:p:18-36:n:2

DOI: 10.2478/bsrj-2019-015

Access Statistics for this article

Business Systems Research is currently edited by Mirjana Pejić Bach

More articles in Business Systems Research from Sciendo
Bibliographic data for series maintained by Peter Golla ().