Value Implications of Outward Investment of Firms from Export Base Economy Countries (EBECs) Pre and Post Global Financial Crisis: Geographic Reach for Expansion

Dr. Aysun Ficici

Volume : III, Issue : VI, June - 2014

Value Implications of Outward Investment of Firms from Export Base Economy Countries (EBECs) Pre and Post Global Financial Crisis: Geographic Reach for Expansion

Dr. Aysun Ficici

Abstract :

The objective of this paper is to examine the impact of Global Financial Crisis on Outward Investment of MNCs from the Export Base Economy countries. This study provides an empirical analysis of international expansion activities that span around the period of 1996-2009. The paper utilizes Securities Database (SDC) Platinum Worldwide Mergers and Acquisitions database in examining 404international mergers and acquisitions activities of various MNCs from the following countries: Philippines, Cambodia, Vietnam, Malaysia, Brunei, and Indonesia. Overall, the results suggest that although the firms� global mergers and acquisition activities seem to be negatively impacted during the 1996-1997 Asian Financial Crisis. Their recent international activities do suggest the same impact during the 2008 Global Financial Crisis. Their investment activities havebeen increasing since 2007.