FDI as a signal of quality

C-Tier
Journal: Economics Letters
Year: 2009
Volume: 103
Issue: 3
Pages: 127-130

Authors (2)

Score contribution per author:

0.503 = (α=2.01 / 2 authors) × 0.5x C-tier

α: calibrated so average coauthorship-adjusted count equals average raw count

Abstract

A new-product firm's entry strategy into foreign markets is considered. We show that, when product quality is unknown, a new-product firm may choose FDI over exporting to signal quality even if exporting is more cost-effective.

Technical Details

RePEc Handle
repec:eee:ecolet:v:103:y:2009:i:3:p:127-130
Journal Field
General
Author Count
2
Added to Database
2026-01-26