An interdisciplinary literature suggests that institutional environment features are significant determinants in the location of foreign direct investment. Weak institutional environment features are considered to have a negative effect on capital inflows. Conversely, empirical studies have found that investors locate in host countries providing high rates of return despite weak institutional environment features. Switzerland is home to some of the most important global investors and one of Europe's largest global investors. Swiss foreign direct investment is an interesting case to examine since it has been nurtured in a well-established institutional environment. In this paper, we evaluate Swiss foreign direct investment located in 56 countries over the period 2005-2009 using statistical and machine learning techniques. From our analysis two models emerge suggesting that Swiss investment favours countries with high political stability and high accountability. However, we also find that Swiss investment does not necessarily discriminate against countries with weak institutional environments.
We study the link between the political and institutional context and privatization sales prices. The latter serves as a measure for assessing the extent to which privatization goals have been met. Whereas this link has been studied theoretically, there are very few, if any, empirical papers on this relationship. We use data from 308 privatizations around the world and apply a cross-country approach, including instrumental variables. We find that while the overall political regime does not matter much for prices, the political processes beyond the basic regime do matter. Institutional context also produces a significant impact on prices. Both results are robust to changes in specification. Adapted from the source document.
Esta tesis contribuye a varios campos del conocimiento. Primero, en ella se estudia el efecto ambiguo que la tecnología de Internet tiene en la estructura de costes de transacción en el caso de las ventas al por menor. En segundo lugar, esta tesis estudia empíricamente que factores determinan la adopción de la tecnología de Internet y la telefonía celular a nivel mundial desde 1980. Se demuestra que las diferencias entre países están determinadas en gran medida por el clima de inversión que afecta los incentivos de adoptar tecnologías basadas en activos específicos. Finalmente de desarrolla y pone a prueba una teoría que relaciona los sistemas electorales y las configuraciones de gobierno con la protección de los derechos de propiedad. Se propone un modelo, que establece una relación negativa entre el número de instituciones de toma de decisión consensual y el grado de protección de los derechos de propiedad. ; This research contributes to several fields of knowledge. It studies the ambiguous effects that the Internet has on the transaction costs structure in the case of retailing. Next, it presents an empirical study of the determinants of worldwide Internet and cellular phone penetration levels since 1980. It is shown that cross-country differences in the use of information and communication technologies (ICT) are to a considerable extent due to differences in investment climate, which determines the incentives to adopt technologies based on site-specific assets. Finally, this thesis develops and tests a theory regarding the effect that electoral formats and government configurations have on the degree of property rights protection. A formal model is presented, which establishes a negative relationship between the number of institutions of consensual collective decision-making and the degree of property rights protection.
Purpose The study conceptualizes how firms' strategic motives interact with the heterogeneity of host country institutional environments in determining the subsidiary ownership. The author hypothesizes and tests two interaction effects. The study found that firms with market-seeking motives are more affected by the heterogeneity of host country institutional environments, while firms with resource-seeking motives are less affected by the heterogeneity. The empirical findings are based on a sample of overseas subsidiaries reported in the annual reports of listed firms in China.
Design/methodology/approach In this study, an empirical investigation was conducted using a sample of subsidiaries of listed firms in China. The data were compiled from 2012 annual reports of listed firms in China. The sample consists of 2,270 subsidiaries of these firms.
Findings The study conceptualizes that firms with market-seeking motives and resource-seeking motives are influenced differently by the heterogeneity of host country institutional environments in determining their subsidiary ownership. We hypothesize two interaction effects. Firms with market-seeking motives are more subject to the heterogeneity of host country institutional environments in determining their FDI ownership level. In contrast, firms with resource-seeking motives are less subject to this heterogeneity. The findings largely supported the study's hypotheses.
Originality/value This study fills an important gap in the literature by incorporating the interaction between strategic motives and host country environments in the analysis of subsidiary ownership. The findings of the study suggest that firms with a market-seeking motive are more particular about the host country institutional environments. They will acquire a high level of ownership in host countries with attractive institutional environments. In contrast, firms with resource-seeking motive are less concerned with the host country institutional environments. Their decision on subsidiary ownership is less affected by the variance in host country institutional environments. This study adds to the stream of studies that have examined outward investments of firms from emerging economies, particularly the outward expansion of Chinese firms with different strategic motives.
Relevance of the research topic. The search for new sources of economic growth at the stage of post-crisis development of the national economy determines the need for the development and implementation of an effective budget policy, since the financial system dysfunctions generated by the trends of financial globalization negatively affect the economic environment of the country. The change in the type of economic growth constitutes the necessity of modifying the budget regulation towards its proactive changes, which include transparency, effective tax incentives and increased availability of financial resources by improving existing methods and methods for implementing fiscal policy and improving the quality of the institutional environment. Formulation of the problem. Budgetary regulation needs to take into account the optimal balance between elements of the budget system and characteristics of cyclic economic development. This indicates the appropriateness of forming an institutional environment of fiscal policy, which should be aimed at ensuring the sustainable development of the national economy, promoting economic competitiveness, ensuring financial stability, effective protection of the domestic market and export support, infrastructure modernization, ensuring environmental protection, optimizing social protection of the population. and increasing its level and targeting. Analysis of recent research and publications. The work of foreign and domestic scholars such as A. Mazaraki [1], L. Lisyak [2], D. North [3], V. Makogon [4], M. Pasichnogo [5], I. Chugunova [6], S. Blankart, A. Smith, J. M. Keynes, A. Gritsenko, I. Zapatrina, I. Lukyanenko, I. Lyutoha, V. Fedosova, S. Yurii and others, are devoted to studying the institutional principles of fiscal policy making in the country and to improve the system of budgetary regulation of social development. Selection of unexplored parts of the general problem. Institutional transformation of fiscal policy is an effective tool for increasing the level of interaction between all members of budget relations. It is necessary to strengthen their coordination in achieving the goals of social development in the process of performing functions and tasks, in accordance with the strategic goals of the domestic economy. Setting the task, the purpose of the study. The objective of the study is to characterize the institutional environment of the state budget policy. The purpose of the study is to reveal the theoretical and methodological foundations for the formation of the institutional environment of budgetary regulation of social development and to identify the directions of its improvement. Method or methodology for conducting research. The article uses a set of methods and approaches of scientific knowledge, among which it should be noted: systematic, structural, generalization and scientific abstraction. Presentation of the main material (results of work). The peculiarities of formation of the institutional environment of budget regulation of social development are determined. The directions of increasing the institutional interaction of the components of the budget system in the conditions of the transformation of the economy are singled out. The main elements of the budget architectonics are described to achieve a balanced and sustainable socio-economic development of the state. The field of application of results. Organization and conducting of scientific researches on formation of institutional principles of the budget policy of the country. Conclusions according to the article. In order to ensure sustainable economic growth, it is expedient to determine the basic principles of forming an institutional environment for budget regulation of social development, consisting of combining the components of the adaptive institutional architecture of the budgetary system and instruments of fiscal regulation, optimizing the structure of budget revenues and expenditures, the system of intergovernmental fiscal relations and medium-term budget planning, and forecasting on the basis of establishing the relationship between the trends of financial globalization and priorities state financial policy, taking into account the volatility of the economy and the lagged effects will promote sustainable economic growth.
Valiullina Z.V. FORMATION OF INFORMATION AND INSTITUTIONAL ENVIRONMENT OF CORPORATE ACTIVITIESPurpose. The aim of the article is to develop a comprehensive systematization of functional components of the information and institutional environment of corporations, developing an author's classification of global corporate institutions in the information sphere. Also, investigation of the interaction of completely different institutes in the format of a unified system methodology is considered in the article.Methodology of research. The theoretical and methodological basis of the research are the fundamental positions of modern economic theory and innovative development of business entities, scientific works of scientists, normative and legislative acts of Ukraine and the world on the formation of information and institutional environment of corporations. The following methods are used in the process of research: theoretical generalization (for coverage of theoretical and methodological foundations of the information and institutional environment of corporations activity), induction, deduction (for studying the peculiarities of the formation of the information and institutional environment of corporations activity), system approach (with the purpose of developing the classification of global corporate institutions in the information sphere), graphic (for the purpose of visual representation).Findings. The evolution of the information and institutional environment of corporations activity is considered, the functional components of the information and institutional environment are systematized. The interaction of completely different institutes in the format of a unified system methodology is explored. It is proved that the Bretton Woods institutions are the basic system of rules, which in turn are determined by the national interests of the United States, Great Britain, Germany, Belgium and other European countries. It has been determined that some of the newest corporations are taking on the role of creating rules that by their nature are global in nature and do not depend on the will of national governments and international organizations.Originality. The classification of global corporate institutions in the information sphere has been developed, which contributes to the development of orientation and adaptability to the latest international rules of entrepreneurial activity.Practical value. The obtained results of the study will enable corporations to develop benchmarks and adapt to the latest international rules of business, which will be the driving force for reducing transaction costs. The introduction of a scientific classification of such a classification will enable national corporations and other forms of business to more accurately redistribute resources and orient themselves in the system of business rules at the international level.Key words: institutionalization, institutional transformation, corporation, international institute, development, regulation, informational and institutional environment.
Using the entrepreneurial event model, the theory of planned behavior, and institutional theory, we investigated the influence of 4 dimensions of the Chinese institutional environment on academics' entrepreneurial intention, and examined the moderating role of entrepreneurial selfefficacy in this relationship. Results of our analysis of 303 university scientists across 5 representative provinces in China show that a regulatory and a cognitive environment both had a positive effect on entrepreneurial intention, whereas the effects of a normative and a conducive environment were nonsignificant. In addition, entrepreneurial self-efficacy played a positive role in moderating the influence of regulatory and cognitive environments on entrepreneurial intention. Therefore, a systematic reconstruction of Chinese institutional policy and culture, as well as institutional reform, are needed to enhance Chinese academics' entrepreneurial intention.
