Foreign direct investment (FDI) is an integral and indispensable source of foreign capital for both the developed and developing countries aside its catalytic economic growth accompanying it. Hence, the competition to court more to maximizing its positives by countries is intensified in the contemporary world and eclectic theory offers significant insights on the tripartite and interrelated platforms of ownership, location, and internalization advantages to the appropriation of FDI to an economy. Therefore, this article main objective is to examine Nigeria’s experience in this regard. The case study research method is adopted to carry out a contextual assessment of Nigeria’s FDI position within the eclectic theory framework using secondary data sources. The findings reveal that Nigeria’s location advantages are not too conducive for FDI attraction and optimum exploitation of the internalization advantages by firms which consequently deprived the country of its benefits of export-driven economy objective and employment generation amongst others. The study recommends diversification of her economy and recalibration of the country’s political, economic and policy environment to enable positive predictability, FDI attraction, and its inherent returns appropriation.
Purchase
Buy instant access (PDF download and unlimited online access):
Institutional Login
Log in with Open Athens, Shibboleth, or your institutional credentials
Personal login
Log in with your brill.com account
Adejumo, A. V. (2013). Foreign direct investment and manufacturing sector performance in Nigeria (1970–2009). Australian Journal of Business and Management Research, 3(4), 39–46.
Adelegan, J. O. (2002). Foreign direct investment and economic growth in Nigeria: A seemingly unrelated model. African Review of Money, Finance and Banking. Supplementary issue of “Savings and Development”, 2000, 5–25. Milan, Italy.
Adeniyi, O., Ajide, B., & Salisu, A. (2015). Foreign capital flows, financial development and growth in Sub-Saharan Africa. Journal of Economic Development, 40(3), 85–102.
Agwu, M. E. (2014). Foreign direct investments: A review from the Nigerian perspective. Research Journal of Business and Management, 1(3), 318–330.
Aja, A. (2002). Selected themes in international economic relations: Understanding trends of globalization and regionalization. Rhyce Kerex Publisher.
Ajide, K. K. (2004). Determinants of foreign direct investment in ECOWAS countries: The roles of governance and human capital. The Empirical Econometrics and Quantitative Economic Letters, 3(2), 61–74.
Akanegbu, B. N., & Chizea, J. J. (2017). Foreign direct investment and economic growth in Nigeria: An empirical analysis. European Journal of Research in Social Sciences, 5(1), 11–20.
Antwi, G. O. (2012). Determinant of foreign direct investment: Is it a better prescription for economic growth in Africa? International Business and Economics Research Journal, 11(7), 757–770.
Anoche, U. C., Ude, D. K. & Mgbemena, O. O. (2015). Foreign direct investment (FDI) flow in Nigeria: Poor economic growth averse? IOSR Journal of Economics and Finance, 6(4), 84–92.
Cantwell, J. A. (2015). An introduction to eclectic paradigm as a meta-framework for the cross disciplinary analysis of international business. In J. A. Cantwell (Ed.), The eclectic paradigm: A framework for synthesizing and comparing theories of international business from different disciplines or perspectives. Palgrave-Macmillan.
Central Bank of Nigeria (2013). Statement of account and annual report. Central Bank of Nigeria. Retrieved from https://www.cbn.govng/Documents/cbnannualreports.asp.
CEIC (2020). Nigeria Foreign Direct Investment 2008–2020). Retrieved from http://www.ceicdata.com/en/indicator/nigeria/foreign-direct-investment.
Chiu, S. K., Lo, F. Y., & Susy, Y. (2015). Taiwanese foreign direct investment in Southeast Asia: An empirical investigation of OLI Framework. Journal of Economics and Management, 11(2), 127–141.
Chowdhury, A. K. (2016). The theory of multinational enterprise: Revisiting eclectic paradigm and Uppsala model. Business and Management Horizons, 3(1), 1–8.
Dinh, T. T., Vo, D. H., Vo, A. T., & Nguyen, T. C. (2019). Foreign direct investment and economic growth in the short run and long run: Empirical evidence from developing countries. Journal of Risk and Financial Management, 12(176), 1–11.
Komlan, K. (2016). Quality of institutions, natural resources and foreign direct investment (FDI) in Sub-Saharan Africa: Dynamic approach: Journal of Economics and Development Studies, 4(2), 28–55.
KPMG (2015). Manufacturing in Africa. Retrieved from www.kpmg.com/Africa.
Morgan, R. E. & Katsikeas, C. S. (1997). Theories of international trade, foreign direct investment and firm internationalization: A critique. Management Decision, 35(1), 66–78.
National Bureau of Statistics (NBS) (2018). Capital importation of Nigeria by sector (third quarter). Retrieved from www.nigeriadataforAfrica.org/gbkjse/capital-importation-of-Nigeria-nigeria-by-sector.
Olafsson, S., Hermannsdottir, O. A., & Islands, H. (2009). The international process – Theory vs two cases. Retrieved from www.ibr.hi-is/sites/ibr.h/.is/files/internationalizationprocess.03feb009.pdf.
Okolie, A. M. (2016). Analysis of lterature review and theoretical framework. In A. M. Okolie & O. G. Ajene (Eds), Research methodology in social science analysis. TIMEX Publishing Company.
Oriakhi, D. E., Osem wengie, P. K., & Amaechi, J. (2014). Foreign direct investment and poverty in Nigeria: Further evidence. JGD, 10(1), 45–74.
Rugman, A. M. (2010). Reconcilling internalization theory & electic paradigm. Multinational Business Review, 18(2), 1–12.
Stoian, C., & Fillippaios, F. (2008). Dunning’s eclectic paradigm: A holistic, yet context specific framework for analyzing determinants of Outward FDI. Evidence from international Greek investment. International Business Review, 17(3), 349–367.
Taiwo, J. N., Achugmonu, B. U., Okoye, O., & Agwu, M. U. (2017). Foreign direct investment: Catalyst for a sustainable economic development in Nigeria. Saudi Journal of Business and Management Studies, 2(2), 70–81.
Uiboupin, J., & Sörg, M. (2008). The entry of foreign banks into emerging markets: An application of the eclectic theory. Eesti Majandusteaduse Seltsi Iaastakonverents, University of Tartu, Tartu, pp. 20–22.
United Nation Conference on Trade & Development (UNCTAD) (2005). Economic development in Africa: Rethinking the role of foreign direct investment. United Nations.
United Nation Conference on Trade and Development (UNCTAD) (1999). Foreign direct investment in Africa: Performance and potential. United Nations.
All Time | Past 365 days | Past 30 Days | |
---|---|---|---|
Abstract Views | 1686 | 330 | 17 |
Full Text Views | 21 | 5 | 0 |
PDF Views & Downloads | 56 | 11 | 0 |
Foreign direct investment (FDI) is an integral and indispensable source of foreign capital for both the developed and developing countries aside its catalytic economic growth accompanying it. Hence, the competition to court more to maximizing its positives by countries is intensified in the contemporary world and eclectic theory offers significant insights on the tripartite and interrelated platforms of ownership, location, and internalization advantages to the appropriation of FDI to an economy. Therefore, this article main objective is to examine Nigeria’s experience in this regard. The case study research method is adopted to carry out a contextual assessment of Nigeria’s FDI position within the eclectic theory framework using secondary data sources. The findings reveal that Nigeria’s location advantages are not too conducive for FDI attraction and optimum exploitation of the internalization advantages by firms which consequently deprived the country of its benefits of export-driven economy objective and employment generation amongst others. The study recommends diversification of her economy and recalibration of the country’s political, economic and policy environment to enable positive predictability, FDI attraction, and its inherent returns appropriation.
All Time | Past 365 days | Past 30 Days | |
---|---|---|---|
Abstract Views | 1686 | 330 | 17 |
Full Text Views | 21 | 5 | 0 |
PDF Views & Downloads | 56 | 11 | 0 |