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Foreign Direct Investments and Relocations in Business Services – What are the Locational Factors? The Case of Hungary


Sass, Magdolna (2010) Foreign Direct Investments and Relocations in Business Services – What are the Locational Factors? The Case of Hungary. [ Working Papers; nº 03, 2010, ]

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Hungary became host to various business services through relocations of these activities from other, higher cost locations, especially from Western Europe and through opening up new capacities. Locational advantages determine which countries are chosen as hosts to new or relocated service centres. For the case of Hungary, the analysis is carried out on the basis of eight detailed company case studies (this number is expected to increase to ten). The majority of these is vertical FDI (close to 100 % of export/sales ratio), and two companies represent a confluential case of vertical and horizontal (domestic market oriented) FDI, where sales to the domestic market are also important, though not dominating. The paper’s main aim is to make an attempt at contributing to filling some gaps in the literature, in terms of analysing locational advantages for vertical FDI in services, specifically in business services. It shows that locational advantages, taken into consideration by vertical and horizontal FDI differ from each other to a great extent. It identifies the various elements of locational advantages connected to the different elements of investment motives, in terms of cost reduction, reducing costs of disintegration of production, reducing other costs, and motives arising from the confluence of vertical and horizontal FDI, and the paper relates these elements to the specificities of the business services sector.

Resumen (otros idiomas)

Hungría se ha convertido en receptora de diversos servicios comerciales a través de deslocalizaciones de actividades desde otros lugares de mayor costo, especialmente de Europa occidental, mediante el desarrollo de nuevas capacidades. Las ventajas de localización determinan qué países son elegidos como destinos de los centros de servicios nuevos o relocalizados. En el caso de Hungría, el análisis se realiza sobre la base de ocho estudios de casos empresariales detallados (este número se espera que aumente a diez). La mayoría de ellos representan supuestos de inversión extranjera directa vertical (cerca de un 100% del ratio exportaciones / ventas) y dos empresas representan un caso de inversión extranjera directa vertical y horizontal (orientada al mercado doméstico), donde las ventas al mercado interno son también importantes, aunque no dominantes. El principal objetivo de este trabajo es un intento de contribuir a llenar algunas lagunas en la literatura, en términos de análisis de las ventajas de localización para la IED vertical en los servicios, específicamente en los servicios empresariales. Esto demuestra que las ventajas de localización respecto a la IED vertical y horizontal, difieren entre sí en gran medida. Se identifican los distintos elementos de las ventajas de localización en relación a los diferentes elementos que motivan la inversión, en términos de reducción de costes, reducción de los costes de desintegración de la producción, la reducción de otros gastos, y los motivos derivados de la confluencia de la IED vertical y horizontal, relacionando estos elementos con las especificidades del sector de servicios empresariales.

Tipo de documento:Documento de trabajo o Informe técnico
Palabras clave:Offshore outsourcing, Business services, Locational advantages, Hungary, East Central Europe.
Palabras clave (otros idiomas):Subcontratación en el exterior, Servicios empresariales, Ventajas de localización, Hungría, Europa Central y del Este.
Materias:Ciencias Sociales > Economía > Integración económica
Ciencias Sociales > Economía > Economía internacional
Ciencias Sociales > Economía > Economía industrial
Título de serie o colección:Working Papers
Código ID:10380

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Última Modificación:25 Abr 2016 11:42

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