Nation Branding and How It Is Related to Foreign Direct Investment Inflows

Abdelmounaim Lahrech, Sami Zaki Alabdulwahab and Safa Bouayach
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Abdelmounaim Lahrech: Finance Program, Faculty of Business and Law, The British University in Dubai, Block 11, 1st and 2nd Floor, Dubai International Academic City, Dubai, United Arab Emirates,
Sami Zaki Alabdulwahab: Department of Economics, College of Business Administration, King Faisal University, Al-Hofuf Al-Ahsa 31982, Kingdom of Saudi Arabia,
Safa Bouayach: College of Business Administration, Al Akhawayn University, Ifrane 53000, Morocco.

International Journal of Economics and Financial Issues, 2020, vol. 10, issue 2, 248-255

Abstract: This study examines the existence of a correlation between the Brand Image of a country and its FDI Inflows. Furthermore, does the Brand Image of a country have a positive impact on its FDI inflows? To proceed to the object of the study, we use a panel model regression that applies to the ten best Nation Branding Index (NBI) countries between 2008 and 2014. The result illustrates a strong positive correlation between nation branding and FDI inflow, indicating that nation branding plays a significant role in attracting business to the country. Moreover, countries that exhibit high nation branding have a tendency to have significant increases in FDI inflows.

Keywords: Nation Branding Index; Foreign Direct Investment; Trade Openness; Growth Real GDP; Political Stability; Control of Corruption; Panel Estimation (search for similar items in EconPapers)
JEL-codes: F3 M2 O19 (search for similar items in EconPapers)
Date: 2020
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Citations: View citations in EconPapers (4)

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Persistent link: https://EconPapers.repec.org/RePEc:eco:journ1:2020-02-28

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