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Journal Articles Thunderbird International Business Review Year : 2003

Foreign direct investment in the CEECs: How do western investors survive?

Nathalie Fabry
Sylvain Zeghni

Abstract

This article emphasizes that knowledge transfer across a firm's boundaries, in a transition context, implies a specific involvement of Western investors. They need to promote specific relationships within affiliates. This article emphasizes two points. First, partners have few common practices and do not share the same perception of the firm. This is the problem with building new capabilities. Second, Western firms have to mobilize organizational resources to build efficient affiliates (new human resources management, introduction of new functions, management by expatriates). Setting up new management rules to run an affiliate in transition countries is costly and often underestimated by foreign investors.

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Dates and versions

hal-00687712 , version 1 (14-04-2012)

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Nathalie Fabry, Sylvain Zeghni. Foreign direct investment in the CEECs: How do western investors survive?. Thunderbird International Business Review, 2003, 45 (2), pp.133-147. ⟨10.1002/tie.10066⟩. ⟨hal-00687712⟩
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