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Determinants of foreign direct investment in the food industry: The case of Poland

✍ Scribed by Peter Walkenhorst;

Publisher
John Wiley and Sons
Year
2001
Tongue
English
Weight
88 KB
Volume
17
Category
Article
ISSN
0742-4477

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✦ Synopsis

Abstract

In this article, a statistical model is developed to analyze determinants of foreign direct investment (FDI) in the Polish food industry. Data on FDI inflows from three investor home country clusters is related to characteristics of 12 food industry branches. The results indicate that firm size, privatization speed, value‐added, and import share are important determinants of food industry FDI. The findings confirm the importance of a swift reduction of state control over agro‐industrial enterprises, while pointing to the need for effective competition policies in transition countries to contain potentially emerging market power of foreign multinationals in oligopolistic food industry branches. [Econ‐Lit citations: F23 (multinational firms); P33 (international linkages in transition); Q13 (agribusiness)] © 2001 John Wiley & Sons, Inc.

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