Template-type: ReDIF-Paper 1.0
Author-Name: Kumar, Nagesh
Author-Workplace-Name: United Nations University, Institute for New Technologies
Title: Multinational Enterprises, New Technologies and Export-Oriented Industrialization in Developing Countries: Trends and Prospects
Abstract: A good deal of theoretical and empirical literature has debated the role of MNEs
	 in the expansion of manufactured exports from developing countries. Prevailing
	 opinion is that MNEs have played an important role in the rapid growth of
	 manufactured exports of Asian NTEs. Empirical studies, however, have reported mixed
	 findings on their role. This is because countries differ in the extent of
	 export-oriented foreign direct investment (FDI) and subcontracting of production
	 attracted from MNEs. Export-oriented FDI and subcontracting arise in the process of
	 rationalization of production, according to international differences in the factor
	 prices undertaken by MNEs.
	 The relocation of production was an important trend in the 1970s, but has slowed
	 since the mid-1980s, with the evolution of new technologies such as flexible
	 automation and other developments in computer integrated manufacturing. This paper
	 examines recent trends and patterns in export-oriented FDI inflows in developing
	 countries. Inter-industry trends are examined as well as inter-country patterns in
	 the export orientation of the overseas affiliates of US and Japanese MNEs. Recent
	 trends in overseas production by developing country enterprises which have recently
	 emerged as significant sources of export-oriented FDI are also summarized. The
	 paper concludes with a discussion of the future prospects and implications for
	 developing countries seeking to tap MNE's resources for promoting their
	 manufactured exports.
Keywords: Transnational Corporations, Exports, Manufactured Goods, New Technology, Developing Countries
Series: Discussion Paper
Creation-Date: 1996
Number: 02
File-URL: http://www.intech.unu.edu/publications/discussion-papers/9602.pdf
File-Format:application/pdf
File-Size:  92.3 Kb
Handle: RePEc:unm:unuint:199602