Country capabilities and the strategic state: How national political institutions affect multinational Corporations' Strategies

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Abstract

This article presents a framework for the analysis of how MNCS' strategies interact with stateS' industrial strategies. It first shows how national institutional arrangements can systematically contribute to state strategic capabilities that form a basis of competitive advantage. It then examines conditions under which these arrangements and capabilities affect, or fail to affect, the international strategies and organization structures of home firms, incoming foreign direct investors, and home firmS' international customers, collaborators and competitors.

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