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ArtikelMotivations and management practices: the dynamics of foreign direct investment in thailand  
Oleh: Passakonjaras, Somchanok ; Nicholas, Stephen J. ; Mahmood, Amir
Jenis: Article from Proceeding
Dalam koleksi: American Society of Business and Behavioral Sciences (ASBBS) Proceedings: Feb 2014; Vol. 21 (1), page 508-518.
Fulltext: 47 - ASBBS 2014 - p508.pdf (200.06KB)
Isi artikelMultinational companies investing in Thailand are surveyed for their motives and management practices pertaining to their operations in Thailand. The preliminary survey findings reveal that market growth and labor costs are the most important reasons for undertaking FDI in Thailand. There are some differences across multinational companies, based on their country of origin, which are evident. For instance, the importance given to the formation of ASEAN Free Trade Area, by Japanese and other Asian companies, as a significant motivation for undertaking FDI, is more pronounced than their counterparts from Australia, Europe, and the U.S. Regarding the degree of risks of operating in Thailand, political instability and foreign exchange or currency risk are rated highest among other kinds of risks. Capabilities that parent companies transferred to Thai branches are many, but product/service quality assurance is found to be the most important capability transferred to Thailand. Japanese rated the importance of this capability transferred to Thai, subsidiaries much higher than companies from other countries. High positions, i.e., CEO and General Managers, in Thai subsidiaries are mainly occupied by expatriates, whereas manufacturing/production, marketing, finance, and human resource managers are mainly held by local Thai managers. The survey results also provide an invaluable insight into the dynamics of management practices, undertaken by multinationals in Thailand.
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