The presence of Chinese multinational enterprises (MNEs) in Europe is on the rise, yet they concentrate in specific regions. Traditional spatial explanations of this clustering refer to the co-location of foreign and local firms in the same or related sectors (‘industry agglomeration’). Nonetheless, Chinese investors may also favour locations with a presence of Chinese firms and ethnic communities (‘country-of-origin agglomeration’). We investigate the combined role of both agglomeration typologies by using data on 1307 Chinese investments in 176 NUTS-2 regions during the period 2009–19. While both agglomerations matter in general, we find a substitution effect of country-of-origin agglomeration offsetting the benefits of industry agglomeration.

Location choices of Chinese greenfield investments across EU regions: the role of industry and country-of-origin agglomerations

Andrea Ascani;
2023-01-01

Abstract

The presence of Chinese multinational enterprises (MNEs) in Europe is on the rise, yet they concentrate in specific regions. Traditional spatial explanations of this clustering refer to the co-location of foreign and local firms in the same or related sectors (‘industry agglomeration’). Nonetheless, Chinese investors may also favour locations with a presence of Chinese firms and ethnic communities (‘country-of-origin agglomeration’). We investigate the combined role of both agglomeration typologies by using data on 1307 Chinese investments in 176 NUTS-2 regions during the period 2009–19. While both agglomerations matter in general, we find a substitution effect of country-of-origin agglomeration offsetting the benefits of industry agglomeration.
2023
industry agglomeration; country-of-origin agglomeration; multinational enterprises; foreign direct investment; China
File in questo prodotto:
File Dimensione Formato  
2023_RegStud_57_Wang.pdf

accesso aperto

Tipologia: Versione Editoriale (PDF)
Licenza: Creative commons
Dimensione 1.65 MB
Formato Adobe PDF
1.65 MB Adobe PDF Visualizza/Apri

I documenti in IRIS sono protetti da copyright e tutti i diritti sono riservati, salvo diversa indicazione.

Utilizza questo identificativo per citare o creare un link a questo documento: https://hdl.handle.net/20.500.12571/26585
Citazioni
  • ???jsp.display-item.citation.pmc??? ND
  • Scopus 2
  • ???jsp.display-item.citation.isi??? 1
social impact