Along with the deterioration in the domestic investment environment and the globalization of competition within industries, Taiwanese firms have aggressively engaged in foreign direct investment (FDI), concentrated mainly in Mainland China in recent years. This phenomenon has provoked some debate. Some argue that the government should hinder these investments to avoid domestic reindustrializing. Others argue that those investments will contribute to Taiwanese firms' competence. To explore the influence of Taiwanese firms' FDI on their competence and network positions, the authors establish a theoretical framework from the perspectives of FDI, organizational learning, and network linkage theories. An empirical study based on a survey of Taiwanese electronics firms is conducted. The findings show that market seeking and strategic asset seeking types of FDI indeed enhance Taiwanese electronic firms' competence and therefore their network positions, while resource seeking type of FDI does not. In additi on, the organizational learning capability has no direct effect on competence enhancement of Taiwanese electronic firm.
|Translated title of the contribution||The Influence of the Foreign Investment Types on a Firm's Competence and Its Network Position: An Empirical Study on Taiwanese Electronic Firms|
|Original language||Chinese (Traditional)|
|Number of pages||19|
|Publication status||Published - 2005|
- Foreign Direct Investment
- Network Position
- Network Linkage