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Locational attractions refer to the alternative countries or regions, for undertaking the value adding activities of multinational enterprises (MNEs). The more the immobile, natural or created resources, which firms need to use jointly with their own competitive advantages, favor a presence in a
75:
Firms may organize the creation and exploitation of their core competencies. The greater the net benefits of internalizing cross-border intermediate product markets, the more likely a firm will prefer to engage in foreign production itself rather than license the right to do
259:
Gray, H. Peter (2003). "Extending the
Eclectic Paradigm in International Business: Essays in Honor of John Dunning"; Edward Elgar Publishing
62:(FDI). The greater the competitive advantages of the investing firms, the more they are likely to engage in their foreign production.
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Dunning, John H. (2000). "The eclectic paradigm as an envelope for economic and business theories of MNEactivity".
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foreign location, the more firms will choose to augment or exploit their specific advantages by engaging in FDI.
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specific advantages refer to the competitive advantages of the enterprises seeking to engage in
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in 1979. Modern Trade Theory incorporates this paradigm using the
Grossman-Hart-Moore
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40:), is a theory in economics. It is a further development of the
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106:(in German). Jena: Franz Steiner Verlag. p. 32.
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235:International Business Review
183:10.1057/palgrave.jibs.8490593
134:Twomey, Michael J. (2000).
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73:Internalization advantages
22:OLI Model or OLI Framework
60:Foreign direct investment
143:. Routledge. p. 8.
276:International economics
164:Dunning, John (1979).
42:internalization theory
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