1. The Big Picture: Why is FDI becoming more important?
Globalization and internationalization: liberalization of international trade and investment regulations opens up new opportunities
vertical FDI more important
Regional integration: new large markets require new large firms
mergers and acquisitions
Ari Kokko

2. Explanations for FDI and MNCs
Multinational corporations
market failures and market imperfections
internalization
diversification
eclectic explanation: the OIL framework
Foreign Direct Investment
market disequilibrium
distortions imposed by governments
market structure imperfections
Ari Kokko

3. Ari Kokko