Publications of Wong MNC Center Staff, Advisory Board Members, and Research Fellows

Chinese FDI to Germany in the Renewable Energy Sector: Pre- and Post-Entry Psychic Distance Perceptions on Regulations-Related Dimensions

Katiuscia Vaccarini, Christoph Lattemann, Francesca Spigarelli, and Ernesto Tavoletti

Countries differ on various dimensions such as culture, language, business practices, policymaking, and regulation. Research shows that the amount of "distance" between countries on these dimensions impacts foreign direct investments (FDI) flows. Specifically, the greater the distance the greater the difficulties for investors. In this paper, the authors analyze the perception of "psychic distance" (PD) between China and Germany, by surveying Chinese managers who invested in Germany in the renewable energy (RE) sector.

The Future of Sino-Iran Relations

Manochehr Dorraj

Iran and China's expanding economic and political relations have a significant regional and global impact that as of yet has not received much scholarly scrut iny. This chapter examines the historical roots, evolution, and development of the Sino-Iranian relationship with a special emphasis on post 1979 period. Many bilateral economic and political issues bind the two nations, such as trade in arms, energy, manufactured goods, and technology. But this relationship also has a political and strategic dimension that serves both nations well. Based on the analysis of the present dynamics, I speculate on possible future trends.

Multinationals and Foreign Investment Policies in a Digital World

Lorraine Eden

The purpose of this paper is to discuss the future of the multinational enterprise (MNE) and implications for the international investment regime. The paper begins by summarising current thinking on multinationals and their motivations for foreign direct investment (FDI). It argues that two “winds of change” – emerging market multinationals and the digital economy – are shattering the traditional view of MNEs and FDI.

Chinese FDI in the EU: Learning from the Renewable Energy Sector

Francesca Spigarelli and Ping Lv

Chinese outward foreign direct investment (COFDI) in the European Union (EU) is serving to integrate the Chinese and EU renewable energy sectors and also is playing an important role in addressing each party’s unique economic and technological challenges in the sector. Regarding challenges, China has become a vital source of support for EU firms at a time when the EU struggles to attract global investment flows in the wake of the 2008 global economic crisis.

Institutions, Labor Mobility, and Foreign Direct Investment in China and India

Yu Zheng

Why did China and India, despite their similar natural factor endowments and growth trajectories, attract different types of FDI? This article shows that microlevel institutions in China and India, particularly a set of regulations governing labor and land markets, shape their domestic labor mobility and consequently affect their FDI patterns and development paths. China’s high labor mobility motivates foreign firms to concentrate in labor-intensive manufacturing and exploit the benefits of scale economies.

中国与拉丁美洲关系的转型 (The Transformation of China-Latin America Relations)

Dr. Benjamin Creutzfeldt

The growing presence in Latin America of Chinese companies, private and state-owned, impacts on China’s international image globally, for in spite of the growing diversity of actors involved, the Western public, their media and governments, tend to conceive of China as a unified actor. Indeed, this is a perception encouraged by Beijing’s leaders when they tour the region.

Subnational Institutions and Outward FDI by Chinese Firms

Victor Zitian Chen, Jing Li, and Daniel M. Shapiro

This study extends the classic country-specific advantage (CSA) – firm-specific advantage (FSA) framework by integrating an institution-based view of CSAs into the discussion of FSAs. In his classic CSA – FSA framework, Alan Rugman suggests that successful multi-national enterprises (MNEs) are often built on the interaction between strong FSAs and strong CSAs at home.

A Tale of Two Ports: The Epic Story of Chinese Direct Investment in the Greek Port of Piraeus

Dr. Sophie Meunier

When the Syriza government of Alexis Tsipras took office in Greece in January 2015, one of the first of many shocking announcements was the cancellation of the privatization of the Piraeus Port Authority (OLP in Greek), which controls the ancient port of Athens.[1] The Chinese state-owned company China Ocean Shipping Company (COSCO), which had been managing two terminals on the port since 2008, was widely expected to become the new majority owner. Why was the Piraeus transaction singled out as an example of a Chinese investment that had to be stopped?

Localization is a choice, not a maxim for Chinese multinationals

Jean-Marc F. Blanchard

This piece is an expanded version of a blog that I published on the Mr. & Mrs. S.H. Wong MNC Center website on August 24 ( It discusses at greater length the issues associated with Chinese outward FDI and political localization, Chinese government awareness of the necessity of political localization, and some of the questions that need to be considered for there to be effective political localization.

Relations between Latin America and the Caribbean and China

Enrique Dussel Peters

For the past three decades the People’s Republic of China has been undergoing major internal socioeconomic transformations and has seen its position in the world economy shift. China’s rapid globalization has not gone unnoticed in Latin America and the Caribbean (LAC). China has significantly increased its presence in the region via international organizations such as the United Nations and regional organizations.