The Effect of National Corporate Responsibility Environment on Japanese Foreign Direct Investment

Peng, George; Beamish, Paul
July 2008
Journal of Business Ethics;Jul2008, Vol. 80 Issue 4, p677
Academic Journal
We examine the relationship between Japanese foreign direct investment (FDI) and the national corporate responsibility (NCR) environment in host countries using corporate social responsibility and international business theories. Based on data from the Japanese Government’s Ministry of Finance AccountAbility, and other sources, we find that the level of NCR has a positive relationship with FDI inflow for developing countries. The relationship for developed countries is negative but not statistically significant. The underlying host country development stage moderates the relationship. The results can help deepen understanding of FDI behaviors and have practical implications for host countries in terms of attracting FDI.


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