Out of passivity: potential role of OFDI in IFDI-based learning trajectory
Year: 2012
Type: article
Abstract: This study discusses how outward foreign direct investment (FDI) can complement the inward FDI-based technological capability-building process, through an analysis of the Shanghai Automotive Industry Corporation case. When a firm is upgrading its technological capability, outward FDI can allow learners to have access to human-embedded skills and knowledge and other intellectual assets that are hardly accessible through the inward globalization strategy. Access to a wide range of external resources is a critical ingredient for improving technological capability, and it can also promote self-learning capability by encouraging subsequent learning-by-doing practices. Accordingly, outward FDI can augment “active” nature in the “passive” learning mode created by the inward globalization strategy.
Source: Industrial and Corporate Change
DOI: 10.1093/icc/dts031
Authors: Kyung-Min Nam, Xin Li
Institution: Massachusetts Institute of Technology
Language: English
Subfield: Strategy and Management
Domain: Social Sciences
Open Access status: green
OpenAlex ID: W1995667525