MNC restructuring and local economic development: the effects of horizontal versus vertical FDI in China

Xiaobo Wu, Suli Zheng and Wanling Ding

International Journal of Learning and Intellectual Capital, 2010, vol. 7, issue 3/4, 394-402

Abstract: In this paper, we discussed the contribution of FDI to exportation and economic development of China. We distinguished the industrial constitution of horizontal and vertical FDI by scrutinising the production and export characteristics of foreign invested firms in manufacturing industries. Considering the major role of vertical FDI in China, we made in-depth discussion on the global changes in vertical organisation of production and brought forward some implications to domestic enterprises.

Keywords: MNC restructuring; vertical FDI; horizontal FDI; foreign direct investment; global production networks; GPN; local economic development; China; MNCs; multinational corporations; exports; innovation. (search for similar items in EconPapers)
Date: 2010
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Persistent link: https://EconPapers.repec.org/RePEc:ids:ijlica:v:7:y:2010:i:3/4:p:394-402

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