218
Views
2
CrossRef citations to date
0
Altmetric
Articles

How does the productivity of foreign-invested enterprises spill over to domestic firms in Vietnamese manufacturing?

References

  • Abraham, F., J. Konings, and V. Slootmaekers. 2010. “FDI Spillovers in the Chinese Manufacturing Sector.” Economics of Transition 18 (1): 143–182. doi:10.1111/j.1468-0351.2009.00370.x.
  • Ackerberg, D. A., Caves, K., & Frazer, G. (2015). “Identification properties of recent production function estimators.” Econometrica 83 (6): 2411–2451.
  • Aitken, B. J., and A. E. Harrison. 1999. “Do Domestic Firms Benefit from Direct Foreign Investment? Evidence from Venezuela.” American Economic Review 89 (3): 605–618. doi:10.1257/aer.89.3.605.
  • Anwar, S., & L. P. Nguyen. (2010). “Foreign direct investment and economic growth in Vietnam.” Asia Pacific Business Review 16 (1–2): 183–202.
  • Anwar, S., and L. P. Nguyen. 2014. “Is Foreign Direct Investment Productive? A Case Study of the Regions of Vietnam.” Journal of Business Research 67 (7): 1376–1387. doi:10.1016/j.jbusres.2013.08.015.
  • Arellano, M., and S. Bond. 1991. “Some Tests of Specification for Panel Data: Monte Carlo Evidence and an Application to Employment Equations.” The Review of Economic Studies 58 (2): 277–297. doi:10.2307/2297968.
  • Athukorala, P. 2009. “Economic Transition and Export Performance in Vietnam.” Asean Economic Bulletin 26 (1): 96–114. doi:10.1355/AE26-1G.
  • Athukorala, P. 2019. “Joining Global Production Networks: Experience and Prospects of India.” Asian Economic Policy Review 14 (1): 123–143. doi:10.1111/aepr.12248.
  • Athukorala, P., and A. A. Patunru. 2019. Domestic Value Added, Exports, and Employment: An Input – Output Analysis of Indonesian Manufacturing. ERIA-DP-2019-06. Jakarta: ERIA.
  • Athukorala, P., and T. Q. Tran. 2012. “Foreign Direct Investment in Industrial Transition: The Experience of Vietnam.” Journal of the Asia Pacific Economy 17 (3): 446–463. doi:10.1080/13547860.2012.694699.
  • Blalock, G., and P. J. Gertler. 2008. “Welfare Gains from Foreign Direct Investment through Technology Transfer to Local Suppliers.” Journal of International Economics 74 (2): 402–421. doi:10.1016/j.jinteco.2007.05.011.
  • Blomström, M., and A. Kokko. 1998. “Multinational Corporations and Spillovers.” Journal of Economic Surveys 12 (3): 247–231. doi:10.1111/1467-6419.00056.
  • Blomström, M., and F. Sjöholm. 1999. “Technology Transfer and Spillovers: Does Local Participation with Multinationals Matter?” European Economic Review 43 (4–6): 915–923. doi:10.1016/S0014-2921(98)00104-4.
  • Boardman, A. E., and A. R. Vining. 1989. “Ownership and Performance in Competitive Environments: A Comparison of the Performance of Private, Mixed, and State-Owned Enterprises.” The Journal of Law and Economics 32 (1): 1–33. doi:10.1086/467167.
  • Bond, S., A. Hoeffler, and J. Temple. 2001. “GMM Estimation of Empirical Growth Models.” Centre for Economic Policy Research Discussion Papers. London: CEPR.
  • Chamorro, D., and L. Nguyen. 2018. “FDI Explosion Amidst the Trade Wars.” https://www.forbes.com/sites/riskmap/2018/12/14/vietnam-fdi-explosion-and-trade-wars/?sh=3268697d7e99
  • Coe, N. M., P. Dicken, and M. Hess. 2008. “Global Production Networks: Realizing the Potential.” Journal of Economic Geography 8 (3): 271–295. doi:10.1093/jeg/lbn002.
  • Crespo, N., and M. P. Fontoura. 2007. “Determinant Factors of FDI Spillovers – What Do we Really Know?” World Development 35 (3): 410–425. doi:10.1016/j.worlddev.2006.04.001.
  • Dimelis, S., and H. Louri. 2002. “Foreign Ownership and Production Efficiency: A Quantile Regression Analysis.” Oxford Economic Papers 54 (3): 449–469. doi:10.1093/oep/54.3.449.
  • Dixit, A. K., and J. E. Stiglitz. 1977. “Monopolistic Competition and Optimum Product Diversity.” American Economic Review 67 (3): 297–308.
  • Djankov, S., and B. Hoekman. 2000. “Foreign Investment and Productivity Growth in Czech Enterprises.” The World Bank Economic Review 14 (1): 49–64. doi:10.1093/wber/14.1.49.
  • Fosfuri, A., M. Motta, and T. Rønde. 2001. “Foreign Direct Investment and Spillovers through Workers’ Mobility.” Journal of International Economics 53 (1): 205–222. doi:10.1016/S0022-1996(00)00069-6.
  • Fujita, M. (2000). “Foreign direct investment, trade, and Vietnam’s interdependence in the AP EC region.” In O. Satoru (Ed.), Industrial Linkage and Direct Investment in AP EC (pp. 41–86). Tokyo: AP EC Study Center, Institute of Developing Economies.
  • Gereffi, G. 1994. “The Organization of Buyer-Driven Global Commodity Chains: How U.S. retailers Shape Overseas Production Networks.” In Commodity Chains and Global Capitalism, edited by G. Gereffi and M. Korzeniewicz, 95–122. Westport: Praeger.
  • Gereffi, G. 1999. “International Trade and Industrial Upgrading in the Apparel Commodity Chain.” Journal of International Economics 48 (1): 37–70. doi:10.1016/S0022-1996(98)00075-0.
  • Girma, S., H. Görg, and M. Pisu. 2008. “Exporting, Linkages and Productivity Spillovers from Foreign Direct Investment.” Multinational Enterprises and Host Country Development 41 (1): 191–211.
  • Girma, S., D. Greenaway, and K. Wakelin. 2001. “Who Benefits from Foreign Direct Investment in the UK?” Scottish Journal of Political Economy 48 (2): 119–133. doi:10.1111/1467-9485.00189.
  • Görg, H., and D. Greenaway. 2004. “Much Ado about Nothing? Do Domestic Firms Really Benefit from Foreign Direct Investment?” The World Bank Research Observer 19 (2): 171–197.
  • Grossman, G. M., and E. Helpman. 1991. “Trade, Knowledge Spillovers, and Growth.” European Economic Review 35 (2–3): 517–526. doi:10.1016/0014-2921(91)90153-A.
  • Hoang, V. T., and T. H. Pham. 2010. “Productivity Spillovers from Foreign Direct Investment: The Case of Vietnam.” In Causes and Consequences of Globalization in East Asia: What Do the Micro Data Analyses Show?, edited by C. H. Hahn and D. Narjoko, 228–246. Jakarta: ERIA.
  • Hu, A. G. Z., and G. H. Jefferson. 2002. “FDI Impact and Spillover: Evidence from China’s Electronic and Textile Industries.” The World Economy 25 (8): 1063–1076. doi:10.1111/1467-9701.00481.
  • Huynh, H. T. N. N., P. V. Nguyen, H. D. X. X. Trieu, and K. T. Tran. 2021. “Productivity Spillover from FDI to Domestic Firms across Six Regions in Vietnam.” Emerging Markets Finance and Trade 57 (1): 59–75. doi:10.1080/1540496X.2018.1562892.
  • Ivarsson, I., and C. G. Alvstam. 2005. “Technology Transfer from TNCs to Local Suppliers in Developing Countries: A Study of AB Volvo’s Truck and Bus Plants in Brazil, China, India, and Mexico.” World Development 33 (8): 1325–1344. doi:10.1016/j.worlddev.2005.04.011.
  • Javorcik, B. S. 2004. “Does Foreign Direct Investment Increase the Productivity of Domestic Firms? In Search of Spillovers through Backward Linkages.” American Economic Review 94 (3): 605–627. doi:10.1257/0002828041464605.
  • Javorcik, B. S., K. Saggi, and M. Spatareanu. 2004. Does It Matter Where You Come from? Vertical Spillovers from Foreign Direct Investment and the Nationality of Investors (No. 3449). Washington, DC: The World Bank.
  • Javorcik, B. S., and M. Spatareanu. 2008. “To Share or Not to Share: Does Local Participation Matter for Spillovers from Foreign Direct Investment?” Journal of Development Economics 85 (1–2): 194–217. doi:10.1016/j.jdeveco.2006.08.005.
  • Jenkins, R. 2006. “Globalization, Foreign Investment and Employment in Viet Nam.” In Transnational Corporations, edited by A. Miroux and S. Ohinata, Vol. 15, 114–143. New York: United Nations.
  • Jensen, M. C., and W. H. Meckling. 1976. “Theory of the Firm: Managerial Behavior, Agency Costs and Ownership Structure.” Journal of Financial Economics 3 (4): 305–360. [Database] doi:10.1016/0304-405X(76)90026-X.
  • Konings, J. 2001. “The Effects of Foreign Direct Investments on Domestic Firms. Evidence from Firm-Level Panel Data in Emerging Economies.” The Economics of Transition 9 (3): 619–633. doi:10.1111/1468-0351.00091.
  • Kornai, J. 1986. “The Soft Budget Constraint.” KYKLOS 39 (1): 3–30.
  • Kumar, R. S., and M. H. B. Subrahmanya. 2010. “Technovation Influence of Subcontracting on Innovation and Economic Performance of SMEs in Indian Automobile Industry.” Technovation 30 (11–12): 558–569.
  • Le, H. Q., and R. Pomfret. 2011. “Technology Spillovers from Foreign Direct Investment in Vietnam: Horizontal or Vertical Spillovers?” Journal of the Asia Pacific Economy 16 (2): 183–201. doi:10.1080/13547860.2011.564746.
  • Levinsohn, J., and A. Petrin. 2003. “Estimating Production Functions Using Inputs to Control for Unobservables.” Review of Economic Studies 70 (2): 317–341. doi:10.1111/1467-937X.00246.
  • Li, X., X. Liu, and D. Parker. 2001. “Foreign Direct Investment and Productivity Spillovers in the Chinese Manufacturing Sector.” Economic Systems 25 (4): 305–321. doi:10.1016/S0939-3625(01)00029-2.
  • Lin, P., Z. Liu, and Y. Zhang. 2009. “Do Chinese Domestic Firms Benefit from FDI Inflow? Evidence of Horizontal and Vertical Spillovers.” China Economic Review 20 (4): 677–691. doi:10.1016/j.chieco.2009.05.010.
  • Marcin, K. 2008. “How Does FDI Inflow Affect Productivity of Domestic Firms? The Role of Horizontal and Vertical Spillovers, Absorptive Capacity and Competition.” The Journal of International Trade & Economic Development 17 (1): 155–173. doi:10.1080/09638190701728131.
  • Markusen, J. R., and A. J. Venables. 1999. “Foreign Direct Investment as a Catalyst for Industrial Development.” European Economic Review 43 (2): 335–356. doi:10.1016/S0014-2921(98)00048-8.
  • Marshall, A. 1920. Principles of Economics. 8th ed. London: Macmillan.
  • National Research Council. 2006. Analyzing the US Content of Imports and the Foreign Content of Exports. Washington, DC: The National Academies.
  • Newman, C., J. Rand, T. Talbot, and F. Tarp. 2015. “Technology Transfers, Foreign Investment and Productivity Spillovers.” European Economic Review 76: 168–187. doi:10.1016/j.euroecorev.2015.02.005.
  • Nguyen, D. C., G. Simpson, D. Saal, N. A. Nguyen, and Q. N. Pham. 2008. FDI Horizontal and Vertical Effects on Local Firm Technical Efficiency. The DEPOCEN Working Paper (2008/17). Hanoi: DEPOCEN.
  • Nguyen, H. T. 2021. “Intersectoral Linkages and Imports of Vietnam: An Input–Output Approach.” International Journal of Economic Policy Studies 15 (1): 205–231. doi:10.1007/s42495-021-00057-2.
  • Nguyen, T. X. T., and J. R. Diez. 2019. “Less than Expected — The Minor Role of Foreign Firms in Upgrading Domestic Suppliers — The Case of Vietnam.” Research Policy 48 (6): 1573–1585. doi:10.1016/j.respol.2019.03.021.
  • Ni, B., M. Spatareanu, V. Manole, T. Otsuki, and H. Yamada. 2017. “The Origin of FDI and Domestic Firms’ Productivity—Evidence from Vietnam.” Journal of Asian Economics 52 (3): 56–76. doi:10.1016/j.asieco.2017.08.004.
  • Nickel, S. J. 1996. “Competition and Corporate Performance.” Journal of Political Economy 104 (4): 724–746.
  • OECD. 2009. OECD Investment Policy Perspectives 2008. Paris: OECD Publishing.
  • Olley, G. S., and A. Pakes. 1996. “The Dynamics of Productivity in the Telecommunications Equipment Industry.” Econometrica 64 (6): 1263. doi:10.2307/2171831.
  • Pack, H., and K. Saggi. 2001. “Vertical Technology Transfer via International Outsourcing.” Journal of Development Economics 65 (2): 389–415. doi:10.1016/S0304-3878(01)00142-0.
  • Pavcnik, N. 2002. “Trade Liberalization, Exit, and Productivity Improvements: Evidence from Chilean Plants.” The Review of Economic Studies 69 (1): 245–276. doi:10.1111/1467-937X.00205.
  • Penrose, E. T. 1959. The Theory of the Growth of the Firm. New York: Oxford University Press.
  • Smeets, R. 2008. “Collecting the Pieces of the FDI Knowledge Spillovers Puzzle.” The World Bank Research Observer 23 (2): 107–138. doi:10.1093/wbro/lkn003.
  • Stinchcombe, A. L. 2000. “Social Structure and Organizations.” Advances in Strategic Management 17 (2): 229–259.
  • Sturgeon, T., and E. Zylberberg. 2016. The Global Information and Communications Technology Industry. Where Vietnam Fits in Global Value Chains. World Bank Policy Paper (WPS7916). Washington, DC: World Bank.
  • Takii, S. 2005. “Productivity Spillovers and Characteristics of Foreign Multinational Plants in Indonesian Manufacturing 1990-1995.” Journal of Development Economics 76 (2): 521–542. doi:10.1016/j.jdeveco.2004.01.006.
  • Tirole, J. 1988. The Theory of Industrial Organization. Cambridge: MIT Press.
  • Toninelli, P. A. 2011. “The Rise and Fall of Public Enterprise: The Framework.” In The Rise and Fall of State-Owned Enterprise in the Western World, edited by P. A. Toninelli, 3–24. Cambridge: Cambridge University Press.
  • Tran, T. T. 2011. “Productivity Spillovers from Foreign Direct Investment: What If Productivity is No Longer a Black Box?” The South East Asian Journal of Management 5 (1): 1–18. doi:10.21002/seam.v5i1.1792.
  • Tran, T. T., T. S. H. Pham, and B. R. Barnes. 2016. “Spatial Spillover Effects from Foreign Direct Investment in Vietnam.” Journal of Development Studies 52 (10): 1431–1445.
  • Tran, T. Q. (2009). “Sudden surge in FDI and infrastructure bottlenecks: The case in Vietnam.” ASEAN Economic Bulletin 26 (1): 58–76. https://doi.org/10.1355/ae26-le
  • UNCTAD. 2001. “Promoting Linkages between Foreign Affiliates and Domestic Firms.” In World Investment Report 2001: Promoting Linkages, 127–216. New York: United Nations Conference on Trade and Development World.
  • UNCTC. 1981. Transnational Corporation Linkages in Developing Countries, the Case of Backward Linkages via Subcontracting: A Technical Paper. New York: United Nations Centre on Transnational Corporations.
  • Utterback, J. 1994. How Companies Can Seize Opportunities in the Face of Technological Change. Mastering the Dynamics of Innovation. Boston: Harvard Business School Press.
  • VCCI. 2018. “Vietnamese Firms Struggle to Join FDI Supply Chain.” Accessed March 24, 2021. https://en.vcci.com.vn/vietnamese-firms-struggle-to-join-fdi-supply-chain
  • Vo, T. T., and A. D. Nguyen. 2011. “Revisiting Exports and Foreign Direct Investment in Vietnam.” Asian Economic Policy Review 6 (1): 112–131. doi:10.1111/j.1748-3131.2011.01187.x.
  • Williamson, O. E. 1967. “Hierarchical Control and Optimum Firm Size.” Journal of Political Economy 75 (2): 123–138. doi:10.1086/259258.
  • Wisarn, P., and P. Bunluasak. 1995. “Foreign Direct Investment and Industrial Restructuring in Thailand.” In The New Wave of Foreign Direct Investment in Asia, 160–173. Pasir Panjang: Institute of Southeast Asian Studies.
  • Wong, P. 1992. “Technological Development through Subcontracting Linkages: Evidence from Singapore.” Scandinavian International Business Review 1 (3): 28–40. doi:10.1016/0962-9262(92)90009-U.

Reprints and Corporate Permissions

Please note: Selecting permissions does not provide access to the full text of the article, please see our help page How do I view content?

To request a reprint or corporate permissions for this article, please click on the relevant link below:

Academic Permissions

Please note: Selecting permissions does not provide access to the full text of the article, please see our help page How do I view content?

Obtain permissions instantly via Rightslink by clicking on the button below:

If you are unable to obtain permissions via Rightslink, please complete and submit this Permissions form. For more information, please visit our Permissions help page.