Prague Economic Papers 2002, 11(4):339-355 | DOI: 10.18267/j.pep.201

Foreign ownership and export propensity: the slovenian experience

Matija Rojec1, Jože P. Damijan2, Boris Majcen3
1 University of Ljubljana, Faculty of Social Sciences, Kardeljeva ploščad 5, SI - 1000 Ljubljana, Slovenia.
2 University of Ljubljana, Faculty of Economics, Kardeljeva ploščad 5, SI - 1000 Ljubljana, Slovenia.
3 Institute for Economic Research, Kardeljeva ploščad 5, SI - 1000 Ljubljana, Slovenia.

This paper discusses the determinants of export propensity of foreign firms in the Slovenian manufacturing sector relative to domestic firms. Using panel framework we show that superior export propensity of foreign firms is significant due to the foreign ownership and that differences in fundamental operational characteristics between domestic and foreign firms significantly affect their export propensity.

Keywords: Slovenia, international trade, foreign direct investment, export propensity, foreign ownership, manufacturing industry
JEL classification: D21, F21, F23

Published: January 1, 2002  Show citation

ACS AIP APA ASA Harvard Chicago Chicago Notes IEEE ISO690 MLA NLM Turabian Vancouver
Rojec, M., Damijan, J.P., & Majcen, B. (2002). Foreign ownership and export propensity: the slovenian experience. Prague Economic Papers, 11(4), 339-355. doi: 10.18267/j.pep.201
Download citation
  • BibTeX (.bib)
  • Bookends (.ris)
  • EasyBib (.ris)
  • EndNote (.enw)
  • EndNote 8 (.xml)
  • ISI WoS (.isi)
  • Medlars (.medlars)
  • Mendeley (.ris)
  • MODS (.xml)
  • Papers (.ris)
  • RefWorks (.txt)
  • RefManager (.ris)
  • RIS (.ris)
  • MS Word (.xml)
  • Zotero (.ris)
    • Open full article

    References

    1. Andersson, T., Fredriksson, T. (1996), "International Organization of Production and Variation in Exports from Affiliates." Journal of International Business Studies, 27 (2), pp. 249-263. Go to original source...
    2. Behrman, J. N. (1972), The Role of International Companies in Latin America: Autos and Petrochemicals. Lexington, MA: Lexington Books.
    3. Bhagwati, J. (1978), Foreign Trade Regimes and Economic Development: Anatomy and Consequences of Exchange Control Regimes. Cambridge, MA: Balinger.
    4. Brouthers, L. E., Werner, S., Wilkinson, T. J. (1996), "The Aggregate Impact of Firms' FDI Strategies on the Trade Balances of Host Countries." Journal of International Business Studies, 27 (2), pp. 359-373. Go to original source...
    5. Caves, R. E. (1971), "International Corporations: The Industrial Economics of Foreign Investment." Economica, 38 (2), pp. 1-27. Go to original source...
    6. Dunning, J. H. (1993), Multinational Enterprises and the Global Economy. Wokingham: Addison-Wesley.
    7. EBRD (1994), Transition Report. London: European Bank for Reconstruction and Development.
    8. Egger, P. (2000), "A Note on the Proper Econometric Specification of the Gravity Equation." Economic Letters, 66 (1), pp. 25-31. Go to original source...
    9. Eltetö, A. (1998), "The Impact of FDI on the Foreign Trade of Four Smaller CEE Countries." Budapest, Institute for World Economics, Hungarian Academy of Sciences Working Paper No. 96.
    10. Eltetö, A., Sass, M. (1998), "Motivations and Behaviour by Hungary's Foreign Investors in Relations to Exports." Budapest, Institute for World Economics, Hungarian Academy of Sciences Working Paper No. 88.
    11. European Commission (1994), "Trade and Investment." Brussels, Directorate General for External Economic Relations Discussion Paper (December).
    12. Gatling, R. (1993), Foreign Investment in Eastern Europe. London: The Economist Intelligence Unit.
    13. Helpman, E., Krugman, P. R. (1985), Market Structure and Foreign Trade: Increasing Returns, Imperfect Competition, and the International Economy. Cambridge, MA: MIT Press.
    14. Hood, N., Young, S. (1979), The Economics of Multinational Enterprise. London: Longman.
    15. Hsiao, C. (1986), Analysis of Panel Data. Cambridge, MA: Cambridge University Press.
    16. IMF (1985), "Foreign Private Investment in Developing Countries." Washington, D.C., International Monetary Fund Occasional Paper No. 33.
    17. Islam, A. (1995), "Collaboration with Transnational Corporations and Manufactured Exports from Developing Countries: Potentials and Policy Implications." RIS (Research & Information System) Digest, 11 (3/4), pp. 1-21.
    18. Kojima, K. (1978), Direct Foreign Investment. London: Croom Helm.
    19. Kravis, I. B., Lipsey, R. E. (1982), "The Location of Overseas Production and Production for Export by U.S. Multinational Firms." Journal of International Economics, 12, pp. 201-223. Go to original source...
    20. Krugman, P. (1983), "The New Theories of International Trade and the Multinational Enterprises", in Audretsch, D. B. A., Kindleberger, C. P., eds., The Multinational Corporation in the 1980s. Cambridge, MA: MIT Press.
    21. Kumar, N. (1990), Multinational Enterprises in India. London: Routledge. Go to original source...
    22. Lall, S., Streeten, P. (1977), Foreign Investment, Transnationals and Developing Countries. London: Macmillan. Go to original source...
    23. Lankes, H. P., Venables, A. J. (1996), "Foreign Direct Investment in Economic Transition: the Changing Pattern of Investments." Economics of Transition, 4 (2), pp. 331-347. Go to original source...
    24. Makhija, M. V., Kim, K., Williamson, S. D. (1997), "Measuring Globalization of Industries Using a National Industry Approach: Empirical Evidence Across Five Countries and Over Time." Journal of International Business Studies, 28 (4), pp. 679-711. Go to original source...
    25. Markusen, J. R. (1995), "The Boundaries of Multinational Enterprises and the Theory of International Trade." Journal of Economic Perspectives, 9 (2), pp. 169-189. Go to original source...
    26. Meyer, K. (1998), Direct Investment in Economies in Transition. Cheltenham: Edward Elgar.
    27. Michalet, C. A. (1997), "Strategies of Multinationals and Competition for Foreign Direct Investment." Washington, D.C., The World Bank, Foreign Investment Advisory Service Occasional Paper 10. Go to original source...
    28. Mundell, R. A. (1957), "International Trade and Factor Mobility." American Economic Review, 47 (3), pp. 321-335.
    29. Ozawa, T. (1972), "Multinationalism - Japanese Style." Columbia Journal of World Business, 7 (6), pp. 33-42.
    30. Ozawa, T. (1992), "Foreign Direct Investment and Economic Development." Transnational Corporations, 1 (1), pp. 27-54.
    31. Papanastassiou, M., Pearce, R. (1992), "Motivation and Market Strategies of US Foreign Direct Investments: An Analysis of Host Country Determinants." Proceedings of the 18th Annual Conference of European International Business Association, December 1992, Reading, The University of Reading.
    32. Reich, S. (1998), "Globalization and Changing Patterns of Foreign Direct Investment: The Lessons for Central and Eastern Europe." Journal of International Relations and Development, 1 (1-2), pp. 106-119.
    33. Reuber, G. L. et al. (1973), Private Foreign Investment in Development." Oxford: Clarendon Press.
    34. Riedel, J. (1975), "The Nature and Determinants of Export Oriented Direct Foreign Investment in a Developing Country: A Case Study of Taiwan." Weltwirtschaftlisches Archiv, 111 (3), pp. 505-528. Go to original source...
    35. Rojec, M. (1998), "Foreign Direct Investment's Effects on Restructuring and Efficiency Upgrading in Slovenia's Manufacturing Sector." Journal of International Relations and Development, 1 (1-2), pp. 46-64.
    36. UNCTAD (1983), The Role of Transnational Enterprises in Latin American Integration Efforts: Who Integrates for Whom and for What Benefits. TO/B/C/7/38. Geneva: United Nations.
    37. UNCTAD (1996), World Investment Report 1996. New York and Geneva: United Nations. Go to original source...
    38. Vernon, R. (1966), "International Investment and International Trade in the Product Life Cycle." Quarterly Journal of Economics, 80 (2), pp. 190-207. Go to original source...
    39. WTO (1996), Annual Report 1996. Geneva: World Trade Organization.

    This is an open access article distributed under the terms of the Creative Commons Attribution-NonCommercial-NoDerivatives 4.0 International License (CC BY NC ND 4.0), which permits non-comercial use, distribution, and reproduction in any medium, provided the original publication is properly cited. No use, distribution or reproduction is permitted which does not comply with these terms.


    Return to the content