Abstract
This study investigates the widely overlooked phenomenon of multinational enterprise (MNE) location avoidance, utilizing a multi-method research design and data on 131 foreign investment locations. It complements economic-choicebased location research by adding contextual dimensions at the country level that matter to managers personally, and affect decisions at the firm level.We provide a connection between international business research, the behavioral stream in economic geography, and the microfoundations stream in the strategic management literature. The results suggest that, in addition to traditional location choice criteria (including investment potential, internationalization strategy, and various geographic and psychic distances), foreign location decisions in MNEs are influenced by how troublesome it is for managers to travel to or live in certain places. An 11-item measure composed of travel inconveniences shows a significant negative moderating effect on the relationship between foreign direct investment potential and investment intensity. The effect is stronger for nonresource-seeking industries. We call this phenomenon the "hassle factor".
| Originalsprache | Englisch |
|---|---|
| Titel des Sammelwerks | Location of International Business Activities |
| Untertitel des Sammelwerks | Integrating Ideas from Research in International Business, Strategic Management and Economic Geography |
| Verlag | Palgrave Macmillan |
| Seiten | 181-225 |
| Seitenumfang | 45 |
| ISBN (elektronisch) | 9781137472311 |
| ISBN (Print) | 9781137472304 |
| DOIs | |
| Publikationsstatus | Veröffentlicht - 2 Dez. 2014 |
| Extern publiziert | Ja |
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