Abstract
The rise of Chinese investments in the Canadian resources sector has added to the already heated debate over growing outward FDI from developing countries since such investments often involve state controlled funds and entities. Prior research has rarely considered FDI formation as a result of interaction between developing country firms and Canadian firms. Using a case study approach, this paper examined the deal structure and the process by which the deal is negotiated and implemented in the CNOOC takeover of Nexen. The findings revealed that the company culture, risk migration, and host country government policies play important roles in successful implementation.
Disclosure statement
No potential conflict of interest was reported by the authors.