ABSTRACT

Slovenia is a small and open economy, for which internationalization of operations is a critical factor for creating a competitive corporate sector.The need for intensive internationalization is additionally strengthened by the final stage of the transition process and accession to the European Union (EU). Such integration into the EU/global economy can largely be achieved through corporate networking and foreign direct investment (FDI). Of all internationalization modes FDI, with its backward and forward linkages to home and host economies, seems to remain the most efficient integration tool for, as yet, non-integrated countries.