ABSTRACT

This chapter analyzes which countries have attracted the most Slovenian investment, which industries were the most important investors abroad. It analyzes changes in the dynamics of the geographical and sectoral distribution of outward foreign direct investment (FDI). Are outward investments concentrated or spread around the world, and how has the diversification of target markets changed? Are host markets for outward FDI the same as export markets? What is the proportion of Slovenian outward investment stock in high versus low- and middle-income countries? What are the most internationalized industries? Are manufacturing firms more important investors than services firms? The pharmaceutical industry is known for its strong internationalization and concentration. Strong ownership-specific advantages, motivate it to internalize activities while significant trade barriers stimulate a local presence. Financial intermediation kept its share in total outward FDI stock. Conventionally, the most important investors within this group are the banks that support Slovenian exporters.