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dc.contributor.authorGrünfeld, Leo A.
dc.contributor.authorSanna-Randaccio, Francesca
dc.identifier.citationWorking Paper, NUPI nr 727. NUPI, 2007nb_NO
dc.description.abstractUnder what conditions will a technology leader from a small country acquire a laggard from a large country, and vice versa? We answer this question with a two-firm two-country Cournot model, where firms enter new markets via greenfield FDI or acquisition. The model takes into account both technological and market size asymmetries, and allows for M&A transaction costs, like corporate finance and legal fees. We show that to be the acquirer, a firm from a small country needs not only a strong technological lead but also the ability to exploit it on a global scale, which requires low international technology transfer costs. Moreover, we find that a multilateral greenfield investment liberalization may actually increase the incentives for foreign acquisitions. The effect of such liberalization on the nationality of the acquirer depends largely on the extent of the technology gap.nb_NO
dc.description.sponsorshipThe Norwegian Research Council; The Höegh Foundation; University of Rome ‘La Sapienza’.nb_NO
dc.relation.ispartofseriesNUPI Working Paper;727
dc.rightsNavngivelse-Ikkekommersiell-DelPåSammeVilkår 3.0 Norge*
dc.titleWho Buys Whom in International Oligopolies with FDI and Technology Transfer?nb_NO
dc.typeWorking papernb_NO
dc.source.pagenumber33 p.nb_NO
dc.relation.projectNorges forskningsråd: 161422nb_NO

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Navngivelse-Ikkekommersiell-DelPåSammeVilkår 3.0 Norge
Except where otherwise noted, this item's license is described as Navngivelse-Ikkekommersiell-DelPåSammeVilkår 3.0 Norge