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The establishment mode choise of German multinational enterprises in Brazil: a comparative approach

Submitted by Malte Nowack (malte.nowack@gmail.com) on 2014-10-09T21:14:35Z
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Previous issue date: 2014-08-12 / We examine the drivers behind the establishment mode choice of German multinational enterprises (MNEs) in the sectors of Automotive, Chemicals and Mechanical Engineering in Brazil for the years 1993-2013 using a novel sample of primary data obtained directly from German MNEs. Based on prevalent theories found in the literature, we test the most common hypotheses on our sample. Firms with high R&D activities and firms with prior market knowledge in Brazil in from of previous sales offices are more likely to enter Brazil by a Greenfield investment. We also show that it is the specific private ownership of the German so-called hidden champions that drive those specific SMEs to enter Brazil by Greenfield, a sneaking suspicion that has been made before. Finally, we show that the establishment mode choice between Brazil and the USA only deviates to a low extent, with German MNEs preferring to enter Brazil by Greenfield and the USA by M&A. Thereby, we provide valuable insights for future research in this field.

Identiferoai:union.ndltd.org:IBICT/oai:bibliotecadigital.fgv.br:10438/12083
Date12 August 2014
CreatorsNowack, Malte Julian
ContributorsVaz, Daniela Verzola, Martits, Luiz Augusto, Escolas::EESP, Lora, Mayra Ivanoff
Source SetsIBICT Brazilian ETDs
LanguageEnglish
Detected LanguageEnglish
Typeinfo:eu-repo/semantics/publishedVersion, info:eu-repo/semantics/masterThesis
Sourcereponame:Repositório Institucional do FGV, instname:Fundação Getulio Vargas, instacron:FGV
Rightsinfo:eu-repo/semantics/openAccess

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