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Foreign Direct Investment by Korean Firms: Profile, Theory, and Implementation

Sang Hoon Nam, Tim Craig


This research investigates the current state of foreign direct investment by firms from South Korea. Korean FDI is found to be increasingly diverse in location and purpose; small and medium sized firms are investing primarily in Asia in search of cheap labor, while large firms are investing in major markets worldwide to secure market share and to acquire and develop technology. The applicability of Dunning’s eclectic theory to Korean FDI is discussed, and theoretical refinements concerning ownership advantages are suggested. Implementation challenges involve HRM, and vary according to whether the labor an investment requires is commodity-like or skilled.


Round Building


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