Business environment and foreign direct investments

The case of selected European emerging economies

Bibliographic Data

ID15068044
AuthorsMladen Vučković (Business in Emerging Markets, FH Joanneum, University of Applied Sciences Graz, Graz, Austria), Vito Bobek (0000-0003-4019-2433, FH Joanneum, University of Applied Sciences Graz, Graz, Austria), Anita Maček (0000-0003-3966-8721, FH Joanneum, University of Applied Sciences Graz, Graz, Austria), Hazbo Skoko (0000-0002-5250-8311, Faculty of Business, School of Accounting and Finance, Charles Strut University, Sydney, NSW, Australia), Tatjana Horvat (0000-0003-3455-0871, Faculty of Management, University of Primorska, Koper, Slovenia, corresponding author)
Year2020
Volume33
Issue1
Pages243-266
Publication date2020-01-01
Peer ReviewedYes
Open AccessYes
TypeARTICLE
VenueEconomic Research-Ekonomska Istraživanja (JOURNAL)
Journal identifiersISSN: 1331-677X • E-ISSN: 1848-9664
PublisherInforma UK Limited (PUBLISHER • GB)
DOI10.1080/1331677x.2019.1710228
OpenAlexW2787544654
LanguageEN
Citations received2
References cited58

The globalisation process of the world economy has led to increase of international capital mobility. In the last two decades, the level of foreign direct investments (F.D.I.) was significantly raised and in 2017 was US$1.8 trillion. The question occupying attention in economic literature is what the main motives and determinants of F.D.I. in certain countries are. This article aims to explore what are the linkages between business environment and inward F.D.I. The research was performed on the sample of five European emerging economies, located in Central and Eastern Europe (C.E.E.) – Poland, Slovenia, Bulgaria, Romania and Serbia. The research compared the main tendencies of F.D.I.s in selected economies, institutional framework and reforms during transition process, competitiveness and ease of doing business (E.D.B.). With the quantitative analysis and ordinary least squares (O.L.S.) regression authors tried to identify statistical significant linkages between inward F.D.I. and ease of doing business indicators, where control variables were G.C.I. pillars (relevant for business regulation and institutional framework), macroeconomic performances, market capitalisation and taxation. The results are identified factors of business environment relevant for attraction of F.D.I. and provided empirical model for each country respectively

Business · Business administration · Business environment · Economic system · Economics · Economy · Emerging markets · Foreign direct investment · Globalization · Macroeconomics · Market economy · Ordinary least squares · Business and Economic Development · Energy, Environment, Economic Growth · International Business and FDI

Tools

Open DOISci-HubOpen Access