Brazilian OFDI Determinants

Recently, the global economy assumed a new setting in which emerging economies began to make substantial investments in the international market. This study aimed to investigate the determinants of outward foreign direct investment from Brazil from 2002-2011. The proposed models developed included a...

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Bibliographic Details
Published inLatin American business review (Binghamton, N.Y.) Vol. 17; no. 3; pp. 177 - 205
Main Authors de Alcântara, Juciara Nunes, Paiva, Caroline Mendonça Nogueira, Bruhn, Nádia Campos Pereira, de Carvalho, Heloísa Rosa, Calegario, Cristina Lelis Leal
Format Journal Article
LanguageEnglish
Published Abingdon Routledge 02.07.2016
Taylor & Francis Ltd
Subjects
Brazilian multinationals
emerging economies
Emerging markets
foreign direct investments
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Summary:Recently, the global economy assumed a new setting in which emerging economies began to make substantial investments in the international market. This study aimed to investigate the determinants of outward foreign direct investment from Brazil from 2002-2011. The proposed models developed included attractiveness of the host country, characteristics of home country, and firms' strategies. The results corroborate the existing argumentations concerning adaptation of mainstream theory with respect to the realities of emerging economies. Brazilian multinationals do not internationalize their activities in pursuit of cost reduction, efficiency, or to explore new markets or natural resources of the host countries. Results show that Brazilian investments were attracted by the availability of skilled labor, openness of the host market, geographic proximity, improved financial conditions of Brazilian companies, and national companies' strategy of reaffirmation and consolidation as global players.
ISSN:1097-8526
1528-6932
DOI:10.1080/10978526.2016.1209080