 Emerging market firm investments in advanced markets: A country of origin perspectiveRama Krishna Reddy, Sung- Jin Park and Scott Mooty Journal of Multinational Financial Management, 2022, vol. 65, issue C Abstract: Drawing on the model of competitive advantages of nations and the concept of emerging market development heterogeneity, we argue the unique home country institutional and resource environments of emerging market firms influence the propensity of those firms to invest in advanced markets via mergers and acquisitions. Using data of 9157 cross-border M&A transactions originating from 60 emerging markets between 2006 and 2018, we find that the level of home country institutional development, capital market development, and the technological readiness of EMFs are positively associated with the propensity to invest and the scale of investment in advanced markets. However, the level of home country factor market development is negatively associated with the likelihood of EMF investment and the scale of investment in advanced markets. Keywords: Emerging markets; Emerging market firms; Mergers and acquisitions; Institutions; Resource environment; Foreign direct investment (search for similar items in EconPapers) Downloads: (external link) Related works: Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text Persistent link: https://EconPapers.repec.org/RePEc:eee:mulfin:v:65:y:2022:i:c:s1042444x22000196 DOI: 10.1016/j.mulfin.2022.100748 Access Statistics for this article Journal of Multinational Financial Management is currently edited by I. Mathur and G. G. Booth More articles in Journal of Multinational Financial Management from Elsevier |
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