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Multinationals and Development$
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Alan M. Rugman and Jonathan P. Doh

Print publication date: 2008

Print ISBN-13: 9780300115611

Published to Yale Scholarship Online: October 2013

DOI: 10.12987/yale/9780300115611.001.0001

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Yang Multinationals

Yang Multinationals

(p.179) Chapter 9 Yang Multinationals
Multinationals and Development

Alan M. Rugman

Jonathan P. Doh

Yale University Press

This chapter discusses “yang” MNEs, which are the MNEs that provide especially beneficent investment to developing economies. Yang is a Chinese philosophical expression, indicating a positive force, in contrast to the negative yin force. The chapter focuses on the role of yang MNEs as conduits of inward and outward FDI by MNEs from China, Korea, Singapore, and Taiwan—the major Asian-based emerging-economy MNEs. It uses the case of Korea to illustrate how complementary CSAs and FSAs interact in both inward and outward FDI, creating positive and sustained development impacts. The case of Korea shows that when governments leverage their CSAs, when firms deploy their most productive FSAs, and when MNEs and host governments work cooperatively to advance economic development, the result is a complementary and mutually reinforcing flow of inward and outward FDI which generates positive and sustained impacts on development.

Keywords:   developing economies, sustained development, multinationals, public policy, globalization

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