국내 지역별 외국인 직접투자 결정 요인

Regional Distribution of Inward Foreign Direct Investment in Korea

Local governments within a country compete against each other in trying to attract foreign direct investment. While there are various studies explaining the factors behind a country's potential to attract foreign direct investment, within-country location choice of multinationals has not adequately. After a brief review of this literature on location decisions of multinationals, this study attempts to identify the factors that lead to variations in the attractiveness of regions withing a country. The result of this empirical analysis shows that foreign companies may seek efficiency represented by wage level, unemployment and unionization rate rather than market when they decide to invest in Korea.