BibTex RIS Cite

Revisiting Transnational Corporations’ Literature: The Implicit Emphasis on Spatial Reflections

Year 2009, Volume: 22 Issue: 1, 41 - 50, 22.03.2010

Abstract

This paper aimed to explore the different approaches to Transnational Corporations (TNC) with implicit emphasis on their spatial reflections. For this aim, major studies in the subject were examined according to their main concerns which were namely monopolistic advantage, internalization advantage and others (global dynamics, innovation, entrepreneurship and etc.). These studies were broadly consistent in concluding that the earlier ones on TNCs and their FDI were mostly firm-based studies and given emphasis to the monopoly and internalization advantages without taken into consideration spatial conditions. The studies realized after the 1970s were started to discuss about different factors in affecting FDI. A special emphasis was given to the locational characteristics of the host countries, i.e. natural resources, raw material, distance from the market, cheap labour power, unsupplied market. The changing dynamics of the global economy last four decades dictates that TNCs have to adjust their strategy and structure to better fit with the competitive environment, which can be understood from the studies realized in these years. In spite of the increased mobility in every aspect of our life and discussions on “annihilation of space by time”, it was interesting to see an increase in the studies mainly concerned spatial dependency of TNCs.

 

Key Words: Foreign Direct Investment, Transnational corporations, Location, Globalization.

References

  • Cook, T.E.,
  • “International Mergers and
  • Acquisitions”, Blackwell, Oxford, (1988). [2] Hopkins, H.D., “Cross-border
  • acquisitions: global and regional perspectives”,
  • Journal of International Management, 5: 207- 239 (1999). mergers and [3] Chapman, K., “Cross-border
  • acquisitions: a review and research agenda”,
  • Journal of Economic Geography, 3: 309-334 (2003). mergers and
  • Meschi, M.M., “Analytical perspectives on mergers and acquisitions: a survey”, Research paper PP5- 97, Centre for International Business Studies, London, South Bank University, (1997).
  • Young, S., Hood, N., Peters, E., “Multinational enterprises and regional economic development,” Regional Studies, 28: 657-677 (1994).
  • Chapman, K., Edmond, H., “Mergers/acquisitions and restructuring in the EU chemical industry: patterns and implications”, Regional Studies, 34: 753-767 (2000).
  • Dunning, J.H., “The European İnternal Market programme investment”, Journal of Common Market Studies, 35: 189-223 (1997). foreign direct
  • Hymer, S.H., “The International Operations of National Firms: A Study of Direct Foreign Investment”, MIT Press, Cambridge, MA (1960 - Published 1976).
  • Hymer, S.H., “The Multinational Corporation: A radical Approach”, Cambridge University Press, Cambridge, (1979).
  • Kindleberger, C.P.,
  • “International Business
  • Abroad”, Yale University Press, New Haven, (1969).
  • Kindleberger, C.P., “Multinational Excursions”, MIT Press, Cambridge, (1984). [12] Vernon, R.,
  • “International investment and
  • international trade in the product cycle”, Quarterly
  • Journal of Economics, 80: 190-207 (1966).
  • Vernon, R., “Sovereignty at Bay”, Longman, Harlow, (1971).
  • Vernon, R., “The Location of Economic Activity”, in. Dunning, J. H (Ed.), Economic Analysis and Multinational Enterprise, London, (1974).
  • Caves, R.E., “International Corporations: The industrial economics of foreign investment”, Economica, 38: 1-27 (1971).
  • Caves, R.E., “Multinational Enterprise and Economic Analysis”, Cambridge University, Cambridge, (1982).
  • Coase, R.H., “The nature of the firm”, Economica, IV: 386-405 (1937).
  • Buckley, P.J., Casson, M.C., “The Future of the Multinational Enterprise”, Macmillan, London, (1976).
  • Williamson, O.E., “Markets and Hierarchies: Analysis and Antitrust Implications”, Free Press, New York, (1975).
  • Williamson, O.E., “The Economic Institutions of Capitalism”, The Free Press, New York, (1985).
  • Williamson, O.E., “Economic Organization: Firm, Markets and Policy Control”, Wheatsheaf Books, Brighton, (1986).
  • Hennart, J.F., “A Theory of Multinational Enterprise”, University Of Michigan Press, Michigan, (1982).
  • Hennart, J.F., “A transaction cost theory of joint ventures”, Strategic Management Journal, 25 (July–August): 157-68 (1988).
  • Hennart, J.F., “The transaction costs theory of joint ventures: An empirical study of Japanese subsidiaries in the United States”, Management Science, 37: 483-497 (1991).
  • Hennart, J.F., “The Transaction Theory”, in C. Pitelis, N. and Sugden, R., (eds.), “The Nature of the Transnational Firm”, Routledge Pub., London, (1991).
  • Teece, D.J., “Economies of scope and the scope of the firm”, Journal of Economics Behaviour and Organisation, 3: 223-247 (1980).
  • Teece, D.J., “The multinational enterprise: market failure and market power considerations”, Sloan Management Review, 22: 3-18 (1981).
  • Teece, D.J., “Towards an economic theory of the multiproduct firm”, Journal of Economics Behaviour and Organisation, 3:102-121 (1982).
  • Teece, D.J., “Technological and Organizational Factors in the Theory of the Multinational Enterprise”, in Casson, M. (ed.), “The Growth of International Business”, George Allen and Irwin, New York, (1993). [30] Rugman, A.D., “New Multinational Enterprise”, Croom Helm, London, (1981). Theories of the
  • Rugman, A.D., “The theory of multinational enterprise: the selected papers of Alan A.M. Rugman, Vol. 1”, Edward Elgar, Cheltenham, (1996).
  • Pitelis, C.N., “The Transnational Corporation: Demand-Side Issues and a Synthesis”, In C. Pitels, N. and Sugden, R. (Eds.) “The Nature of the Transnational Firm”, Routledge, London, (1991).
  • Jenkins, R., “Transnational Corporations and Uneven Development, the Internationalization of Capital and the Third World”, Methuen, London, (1987).
  • Caves, R.E., “American Industry: Structure, Conduct, Performance, 2nd Edition”, Prentice- Hall, Englewood Cliffs, (1967).
  • Vernon, R., “The product cycle hypothesis in a new international environment”, Oxford Bulletin of Economics and Statistics, 41: 4 (1979).
  • Ietto-Gillies, G., “International Production: Trends, Theories, Effects”, Blackwell Pub., Cambridge, (1992).
  • Gilroy, B.M., “Networking in Multinational Enterprises: The Importance of Strategic Alliances”, University of South Carolina Press, Columbia, (1993).
  • Dunning, J.H., “American Investment in British Allien and Unwin, London, (1958). Industry”, George
  • Dunning, J.H., “International Production and the Multinational Enterprise”, Allen and Unwin, London, (1981). [40] Dunning, J.H., “Explaining International Production”, Unwin Hyman, London, (1988).
  • Dunning, J.H., “Multinational Enterprises and the Global Economy”, Addison-Wesley Pub. Com, Wokkingham, (1994).
  • Dunning, J.H., “The eclectic paradigm as an envelope for economic and business theories of MNE Review, 9: 163-190 (2000). Business
  • Dunning, J.H., “Reappraising the Eclectic Paradigm in the age of alliance capitalism”, Journal of International Business Studies, 26:461-491 (1995).
  • Dunning, J.H., “Governments, Globalization, and International Business”, Oxford University Press, Oxford and New York, (1997).
  • Hirst, P., Thompson, G., “Globalisation in Question”, Cambridge, (1996).
  • Weiss, L., “Globalization and the myth of the powerless state”, New Left Review, 225(Sept.- Oct.): 3-27 (1996).
  • Castells, M., “The Information Age: Economy, Society and Culture, Volume 1, the Rise of Network Oxford, (1996). Publishers,
  • Harvey, D., “The Urbanization of Capital”, MD: Johns Hopkins Unv. Press, Baltimore, (1989).
  • Dicken, P., “Global Shift: Transforming the Global Economy, 3rd Edition”, Paul Chapman Publishing Ltd., London, (1998).
  • Yeung, Y., Li, X., “Transnational corporations and local embeddedness: company case studies from Shanghai, China”, Professional Geographer, 52(4): 624-635 (2000).
  • Yeung, H.W., Poon, J., Perry, M., “Towards a regional strategy: the role of regional headquarters of foreign firms in Singapore”, Urban Studies, 38(1): 157-183 (2001). [52] Phelps, N.A., Fuller, competition, development”, Economic Geography, 76(3): 224- 243 (2000).
  • “Multinationals, and regional
  • Phelps, N.A., Mackinnon, D., Stone, I., Braidford, P., “Embedding the multinationals? Institutions and the development of overseas manufacturing affiliates in Wales and north east England”, Regional Studies, 37(1): 27-40 (2003).
  • Ohmae, K., “The Borderless World: Power and Strategy in the Interlinked Economy, Free Press, New York, (1990).
  • Hu, Y.S., “Global firms are national firms with international operations”, California Management Review, 34: 107-26 (1992).
  • Ruigrok, W., van Tulder, R., “The Logic of International Restructuring”, Routledge, London, (1995).
  • Pauly, L.V., Reich, S., “National structures and multinational differences International Organization, 51: 1-30 (1997). of globalization”,
  • Phelps, N.A., “From Local Economic Dependence to Local Economic Development? The Case of the Scottish Electronics Industry”, Papers In Planning Research No. 136, Department Of City And Regional Planning, University Of Wales, Collage Of Cardiff, (1992).
  • Phelps, N.A., “Multinationals and European Integration: Trade, Investment and Regional Development”, Regional Studies Association, Jessica Kingsley Publishers, London, (1997).
  • Glac, K., Cantwell, J., “TNCs, locational clustering and the process of economic development," In L. Cuyvers and F. De Beule (Eds.), “Transnational Corporations and Economic Development: From Internationalisation to Globalisation, Palgrave, Macmillan, London, (2006).
  • Cantwell, J., Glac, K., Harding, R., "The internationalization of R&D — the Swiss case”, Management International Review, 44 (3): 57-82 (2004).
  • Hu, A., Jefferson, G., “FDI, technological innovation, and spillover: Evidence from large and medium size Chinese enterprises, Mimeo”, Brandeis University: Waltham, MA, (2001).
  • Alfaro, L., Chanda, A., Kalemli-Ozcan, S., Sayek, S., ‘FDI and economic growth: The role of local financial markets’, Journal of International Economics, 64 (1): 89-112 (2004).
  • Gooderham, P.N., “Enhancing knowledge transfer in capabilities Management Research and Practice, 5: 34-43 (2007). a dynamic Knowledge driven model”, [65] Morgan, G., “Understanding
  • corporations”, In S., Ackroyd, Batt, R., Thompson,
  • P. and Tolbert P. S. (Eds) “The Oxford Handbook
  • of Work and Organization”, Oxford University
  • Press, Oxford, (2005). multinational
  • Sat, N.A., “Local embeddedness of Transnational Corporations: Turkish case”, unpublished Ph.D. Thesis, METU, Ankara, (2005).
Year 2009, Volume: 22 Issue: 1, 41 - 50, 22.03.2010

Abstract

References

  • Cook, T.E.,
  • “International Mergers and
  • Acquisitions”, Blackwell, Oxford, (1988). [2] Hopkins, H.D., “Cross-border
  • acquisitions: global and regional perspectives”,
  • Journal of International Management, 5: 207- 239 (1999). mergers and [3] Chapman, K., “Cross-border
  • acquisitions: a review and research agenda”,
  • Journal of Economic Geography, 3: 309-334 (2003). mergers and
  • Meschi, M.M., “Analytical perspectives on mergers and acquisitions: a survey”, Research paper PP5- 97, Centre for International Business Studies, London, South Bank University, (1997).
  • Young, S., Hood, N., Peters, E., “Multinational enterprises and regional economic development,” Regional Studies, 28: 657-677 (1994).
  • Chapman, K., Edmond, H., “Mergers/acquisitions and restructuring in the EU chemical industry: patterns and implications”, Regional Studies, 34: 753-767 (2000).
  • Dunning, J.H., “The European İnternal Market programme investment”, Journal of Common Market Studies, 35: 189-223 (1997). foreign direct
  • Hymer, S.H., “The International Operations of National Firms: A Study of Direct Foreign Investment”, MIT Press, Cambridge, MA (1960 - Published 1976).
  • Hymer, S.H., “The Multinational Corporation: A radical Approach”, Cambridge University Press, Cambridge, (1979).
  • Kindleberger, C.P.,
  • “International Business
  • Abroad”, Yale University Press, New Haven, (1969).
  • Kindleberger, C.P., “Multinational Excursions”, MIT Press, Cambridge, (1984). [12] Vernon, R.,
  • “International investment and
  • international trade in the product cycle”, Quarterly
  • Journal of Economics, 80: 190-207 (1966).
  • Vernon, R., “Sovereignty at Bay”, Longman, Harlow, (1971).
  • Vernon, R., “The Location of Economic Activity”, in. Dunning, J. H (Ed.), Economic Analysis and Multinational Enterprise, London, (1974).
  • Caves, R.E., “International Corporations: The industrial economics of foreign investment”, Economica, 38: 1-27 (1971).
  • Caves, R.E., “Multinational Enterprise and Economic Analysis”, Cambridge University, Cambridge, (1982).
  • Coase, R.H., “The nature of the firm”, Economica, IV: 386-405 (1937).
  • Buckley, P.J., Casson, M.C., “The Future of the Multinational Enterprise”, Macmillan, London, (1976).
  • Williamson, O.E., “Markets and Hierarchies: Analysis and Antitrust Implications”, Free Press, New York, (1975).
  • Williamson, O.E., “The Economic Institutions of Capitalism”, The Free Press, New York, (1985).
  • Williamson, O.E., “Economic Organization: Firm, Markets and Policy Control”, Wheatsheaf Books, Brighton, (1986).
  • Hennart, J.F., “A Theory of Multinational Enterprise”, University Of Michigan Press, Michigan, (1982).
  • Hennart, J.F., “A transaction cost theory of joint ventures”, Strategic Management Journal, 25 (July–August): 157-68 (1988).
  • Hennart, J.F., “The transaction costs theory of joint ventures: An empirical study of Japanese subsidiaries in the United States”, Management Science, 37: 483-497 (1991).
  • Hennart, J.F., “The Transaction Theory”, in C. Pitelis, N. and Sugden, R., (eds.), “The Nature of the Transnational Firm”, Routledge Pub., London, (1991).
  • Teece, D.J., “Economies of scope and the scope of the firm”, Journal of Economics Behaviour and Organisation, 3: 223-247 (1980).
  • Teece, D.J., “The multinational enterprise: market failure and market power considerations”, Sloan Management Review, 22: 3-18 (1981).
  • Teece, D.J., “Towards an economic theory of the multiproduct firm”, Journal of Economics Behaviour and Organisation, 3:102-121 (1982).
  • Teece, D.J., “Technological and Organizational Factors in the Theory of the Multinational Enterprise”, in Casson, M. (ed.), “The Growth of International Business”, George Allen and Irwin, New York, (1993). [30] Rugman, A.D., “New Multinational Enterprise”, Croom Helm, London, (1981). Theories of the
  • Rugman, A.D., “The theory of multinational enterprise: the selected papers of Alan A.M. Rugman, Vol. 1”, Edward Elgar, Cheltenham, (1996).
  • Pitelis, C.N., “The Transnational Corporation: Demand-Side Issues and a Synthesis”, In C. Pitels, N. and Sugden, R. (Eds.) “The Nature of the Transnational Firm”, Routledge, London, (1991).
  • Jenkins, R., “Transnational Corporations and Uneven Development, the Internationalization of Capital and the Third World”, Methuen, London, (1987).
  • Caves, R.E., “American Industry: Structure, Conduct, Performance, 2nd Edition”, Prentice- Hall, Englewood Cliffs, (1967).
  • Vernon, R., “The product cycle hypothesis in a new international environment”, Oxford Bulletin of Economics and Statistics, 41: 4 (1979).
  • Ietto-Gillies, G., “International Production: Trends, Theories, Effects”, Blackwell Pub., Cambridge, (1992).
  • Gilroy, B.M., “Networking in Multinational Enterprises: The Importance of Strategic Alliances”, University of South Carolina Press, Columbia, (1993).
  • Dunning, J.H., “American Investment in British Allien and Unwin, London, (1958). Industry”, George
  • Dunning, J.H., “International Production and the Multinational Enterprise”, Allen and Unwin, London, (1981). [40] Dunning, J.H., “Explaining International Production”, Unwin Hyman, London, (1988).
  • Dunning, J.H., “Multinational Enterprises and the Global Economy”, Addison-Wesley Pub. Com, Wokkingham, (1994).
  • Dunning, J.H., “The eclectic paradigm as an envelope for economic and business theories of MNE Review, 9: 163-190 (2000). Business
  • Dunning, J.H., “Reappraising the Eclectic Paradigm in the age of alliance capitalism”, Journal of International Business Studies, 26:461-491 (1995).
  • Dunning, J.H., “Governments, Globalization, and International Business”, Oxford University Press, Oxford and New York, (1997).
  • Hirst, P., Thompson, G., “Globalisation in Question”, Cambridge, (1996).
  • Weiss, L., “Globalization and the myth of the powerless state”, New Left Review, 225(Sept.- Oct.): 3-27 (1996).
  • Castells, M., “The Information Age: Economy, Society and Culture, Volume 1, the Rise of Network Oxford, (1996). Publishers,
  • Harvey, D., “The Urbanization of Capital”, MD: Johns Hopkins Unv. Press, Baltimore, (1989).
  • Dicken, P., “Global Shift: Transforming the Global Economy, 3rd Edition”, Paul Chapman Publishing Ltd., London, (1998).
  • Yeung, Y., Li, X., “Transnational corporations and local embeddedness: company case studies from Shanghai, China”, Professional Geographer, 52(4): 624-635 (2000).
  • Yeung, H.W., Poon, J., Perry, M., “Towards a regional strategy: the role of regional headquarters of foreign firms in Singapore”, Urban Studies, 38(1): 157-183 (2001). [52] Phelps, N.A., Fuller, competition, development”, Economic Geography, 76(3): 224- 243 (2000).
  • “Multinationals, and regional
  • Phelps, N.A., Mackinnon, D., Stone, I., Braidford, P., “Embedding the multinationals? Institutions and the development of overseas manufacturing affiliates in Wales and north east England”, Regional Studies, 37(1): 27-40 (2003).
  • Ohmae, K., “The Borderless World: Power and Strategy in the Interlinked Economy, Free Press, New York, (1990).
  • Hu, Y.S., “Global firms are national firms with international operations”, California Management Review, 34: 107-26 (1992).
  • Ruigrok, W., van Tulder, R., “The Logic of International Restructuring”, Routledge, London, (1995).
  • Pauly, L.V., Reich, S., “National structures and multinational differences International Organization, 51: 1-30 (1997). of globalization”,
  • Phelps, N.A., “From Local Economic Dependence to Local Economic Development? The Case of the Scottish Electronics Industry”, Papers In Planning Research No. 136, Department Of City And Regional Planning, University Of Wales, Collage Of Cardiff, (1992).
  • Phelps, N.A., “Multinationals and European Integration: Trade, Investment and Regional Development”, Regional Studies Association, Jessica Kingsley Publishers, London, (1997).
  • Glac, K., Cantwell, J., “TNCs, locational clustering and the process of economic development," In L. Cuyvers and F. De Beule (Eds.), “Transnational Corporations and Economic Development: From Internationalisation to Globalisation, Palgrave, Macmillan, London, (2006).
  • Cantwell, J., Glac, K., Harding, R., "The internationalization of R&D — the Swiss case”, Management International Review, 44 (3): 57-82 (2004).
  • Hu, A., Jefferson, G., “FDI, technological innovation, and spillover: Evidence from large and medium size Chinese enterprises, Mimeo”, Brandeis University: Waltham, MA, (2001).
  • Alfaro, L., Chanda, A., Kalemli-Ozcan, S., Sayek, S., ‘FDI and economic growth: The role of local financial markets’, Journal of International Economics, 64 (1): 89-112 (2004).
  • Gooderham, P.N., “Enhancing knowledge transfer in capabilities Management Research and Practice, 5: 34-43 (2007). a dynamic Knowledge driven model”, [65] Morgan, G., “Understanding
  • corporations”, In S., Ackroyd, Batt, R., Thompson,
  • P. and Tolbert P. S. (Eds) “The Oxford Handbook
  • of Work and Organization”, Oxford University
  • Press, Oxford, (2005). multinational
  • Sat, N.A., “Local embeddedness of Transnational Corporations: Turkish case”, unpublished Ph.D. Thesis, METU, Ankara, (2005).
There are 75 citations in total.

Details

Primary Language English
Journal Section Architecture & City and Urban Planning
Authors

N.aydan Sat This is me

Publication Date March 22, 2010
Published in Issue Year 2009 Volume: 22 Issue: 1

Cite

APA Sat, N. (2010). Revisiting Transnational Corporations’ Literature: The Implicit Emphasis on Spatial Reflections. Gazi University Journal of Science, 22(1), 41-50.
AMA Sat N. Revisiting Transnational Corporations’ Literature: The Implicit Emphasis on Spatial Reflections. Gazi University Journal of Science. March 2010;22(1):41-50.
Chicago Sat, N.aydan. “Revisiting Transnational Corporations’ Literature: The Implicit Emphasis on Spatial Reflections”. Gazi University Journal of Science 22, no. 1 (March 2010): 41-50.
EndNote Sat N (March 1, 2010) Revisiting Transnational Corporations’ Literature: The Implicit Emphasis on Spatial Reflections. Gazi University Journal of Science 22 1 41–50.
IEEE N. Sat, “Revisiting Transnational Corporations’ Literature: The Implicit Emphasis on Spatial Reflections”, Gazi University Journal of Science, vol. 22, no. 1, pp. 41–50, 2010.
ISNAD Sat, N.aydan. “Revisiting Transnational Corporations’ Literature: The Implicit Emphasis on Spatial Reflections”. Gazi University Journal of Science 22/1 (March 2010), 41-50.
JAMA Sat N. Revisiting Transnational Corporations’ Literature: The Implicit Emphasis on Spatial Reflections. Gazi University Journal of Science. 2010;22:41–50.
MLA Sat, N.aydan. “Revisiting Transnational Corporations’ Literature: The Implicit Emphasis on Spatial Reflections”. Gazi University Journal of Science, vol. 22, no. 1, 2010, pp. 41-50.
Vancouver Sat N. Revisiting Transnational Corporations’ Literature: The Implicit Emphasis on Spatial Reflections. Gazi University Journal of Science. 2010;22(1):41-50.