The Role of Host Country Networks in Foreign Investment Location Decisions: Interfaces All Over

Extent theory emphasizes the role of host country factors and home-host countries’ ‘distance’ on the choice of foreign investment location (FIL). This study argues host country networks constitute a third set of drivers of FIL choice. Host country networks in general (HCN), and more specifically host country investment networks (HCINs) are fundamental to multinational enterprises’ (MNEs) FIL choices. HCINs signal the potential benefits of...